Cameroon began 2026 with a modest improvement on the regional Treasury securities market operated by the Bank of Central African States (BEAC). According to the central bank’s latest monthly report on Cemac government securities, the average interest rate on Treasury bills declined in January.
The average yield stood at 6.87% in January, down from 7.11% in December 2025, a decrease of 24 basis points in one month. The easing follows several years of sustained upward pressure on short-term government securities.
Rates remain historically elevated
Despite the slight decline, the cost of short-term borrowing remains significantly higher than in previous years. The average rate was 2.81% in January 2018. It then rose steadily: 4.3% in January 2023, 6.4% in January 2024 and 6.62% in January 2025, according to BEAC data.
Treasury bills, which are used to cover short-term cash needs, therefore remain more expensive for the state at a time of heightened fiscal pressure.
Growing regional competition
The structural rise in rates is largely linked to increased competition on the Cemac public securities market, which includes Cameroon, Congo, Gabon, Equatorial Guinea, Chad and the Central African Republic. Long dominated by Cameroon and Gabon after its launch in 2011, the market has gradually expanded to include the four other member states since 2015, with a marked acceleration after the Covid-19 crisis in 2020.
The increase in issuers has altered the supply-demand balance. Investor yields have risen, while subscription and coverage rates have declined.
Finance Minister Louis Paul Motazé reiterated this trend on February 19 in Douala during the presentation of the 2026 government financing program. “Our interventions on the domestic market show that maturities and subscription rates continue to decline, while exit rates are increasing. Between 2020 and 2025, the weighted average interest rate on Treasury bills rose from 2.67% to 6.65%,” he said.
Against this backdrop, the slight easing observed in January 2026 offers a positive signal, though it remains insufficient to reverse the broader upward trend in short-term debt costs.
BRM
