Cameroon’s debt level, relative to gross domestic product (GDP), stood at 40.9% at the end of March 2022, according to the latest economic report from the Autonomous Sinking Fund (CAA) released on Saturday at Xinhua.
The overall outstanding balance, specifies the entity that manages the country’s public debt, is made up of 29.9% of the external debt and 11.0% of the internal debt, an increase of 0.8% compared to the previous quarter. , and 7.4% year-on-year.
With regard to the cost and risk profile corresponding to the portfolio level, the share of debt denominated in currencies other than the FCFA is estimated at 73.0% of the overall portfolio during the period studied, representing an exposure of 45.3 % of the portfolio, while that denominated in euros is valued at 27.8% of the total envelope.
According to the convergence criteria in force within the Economic and Monetary Community of Central Africa (CEMAC), the debt ratio must not exceed 70% of GDP in order to avoid crossing sustainability thresholds.
The relevant regulations expose the offending countries of the sub-region (Cameroon, Congo, Gabon, Equatorial Guinea, Chad and Central African Republic) to possible expulsion from the group.