In its quest for economic emergence, Cameroon is betting on a structural transformation of its financial sector to support industrialization and growth. The National Development Strategy (SND30), adopted in 2020, sets ambitious targets for 2030, including an average GDP growth rate of 8%.
Cameroon’s financial sector currently plays a marginal role in the national economy, hindered by structural weaknesses: low banking penetration, a high rate of non-performing loans (13.4% in 2022), and a lack of long-term financing tools. These challenges restrict access to credit, particularly for SMEs and households.
In May 2024, Cameroon launched its National Financial Sector Development Strategy (SNDSF) to modernize its financial system by 2030. The strategy targets 630 billion FCFA in additional budget revenue over 2025-2030 (about 105 billion FCFA per year). Key goals include increasing the financial sector’s share of GDP from 3% to 7-10% by 2030, establishing a mortgage refinancing fund, and creating a guarantee fund for SMEs. The plan also aims to expand the number of commercial banks from 16 to 30 by 2030, partly through the transformation of microfinance institutions.
The modernization of Cameroon’s financial sector is part of a broader economic transformation aligned with the Vision 2035 objectives. By boosting the financial sector’s contribution to GDP, the government seeks to reduce reliance on traditional sectors like agriculture and oil, which are often vulnerable to external shocks.
The planned reforms, such as the creation of a mortgage refinancing fund and an SME guarantee fund, address critical needs: improved access to housing for households and financing for small businesses. These measures could stimulate the real economy by facilitating investment and consumption.
For Africa, this strategy serves as an example of an institutional response to financial inclusion challenges. If successful, it could inspire other countries in the region, where financial systems often remain fragmented and inaccessible to large segments of the population.
In the long term, better financial intermediation could help reduce inequalities by improving access to credit for households and entrepreneurs. This would contribute to job creation and poverty reduction, two key objectives of the SND30.
Cameroon is backing its ambitions with this bold financial strategy. If the reforms are successfully implemented, the country could not only accelerate its emergence but also serve as a model for an Africa seeking economic and financial stability.
