View Kamer

IsDB Greenlights CFAF140 Billion Loan to Reconstruct Vital Douala–Bafoussam Road


(Business in Cameroon) – The Islamic Development Bank (IsDB) Board of Directors approved €212.35 million (approximately 140 billion CFA francs) in funding for Cameroon on May 19, 2025. This significant loan is earmarked for the reconstruction of the 217.8-kilometer Douala–Bafoussam road, a strategic highway linking Cameroon’s economic capital to the regional capital of its West province. The financing follows negotiations initiated in October 2024 between the Cameroonian government and the IsDB.

The total estimated budget for the project stands at 179.5 billion CFA francs. The Cameroonian government will contribute approximately 17.6 billion CFA francs, representing 10% of the total cost, through its public investment budget starting in 2026. This national contribution will specifically cover compensation for land expropriations, the development of municipal roads, and the construction of vital socioeconomic infrastructure along the route.

Project Scope and Economic Impact

The reconstruction work will encompass five distinct sections: Bekoko–Loum (50.8 km), Loum–Nkongsamba (49.3 km), Nkongsamba–Nkam Bridge (46.5 km), Nkam Bridge–Bafang (27.9 km), and Bafang–Bandja–Bandjoun (43.3 km).

National Road No. 5, a vital corridor for Cameroon’s economy, is currently in an advanced state of disrepair. This deterioration has led to a high incidence of accidents and severely disrupts the flow of goods and raw materials between the Port of Douala and the West and Northwest regions. The degradation has had a lasting negative impact on economic activity. In an August 8, 2024, letter to the Minister of Public Works, Célestin Tawamba, president of the Cameroon Employers’ Association (Gecam), cited “significant delays and rising operational costs for businesses, due in particular to premature vehicle wear and the cumulative consumption of fuel and spare parts.” According to Tawamba, who also serves as CEO of the Cadyst Group, these additional costs are subsequently passed on to the prices of goods and services, exacerbating inflation. While awaiting the commencement of the comprehensive rehabilitation, the Ministry of Public Works has initiated interim maintenance operations to temporarily improve the service level of this critical roadway.

Frédéric Nonos





Source link

View Kamer

FREE
VIEW