Cameroon had 385 licensed microfinance institutions (MFIs) operating nationwide as of the end of 2025, according to a list published by the Ministry of Finance. The number represents a slight decline from 390 a year earlier, reflecting ongoing regulatory enforcement and sector consolidation.
Finance Minister Louis Paul Motazé said the publication of the official list aims to protect consumers from unlicensed operators, which continue to appear despite government warnings. Microfinance institutions remain a critical component of Cameroon’s financial system, particularly in rural areas where commercial banks are sparse or absent.
Data from the Central African Banking Commission (Cobac) indicate that in 2024, Cameroonian MFIs extended CFA659.4 billion (US$1.1 billion) in loans to households and businesses, up from CFA618.4 billion the previous year. This represented 57.6 percent of all microfinance lending across the six-member Central African Economic and Monetary Community (CEMAC), highlighting Cameroon’s dominant position in regional microfinance.
Cobac figures also show that Cameroonian MFIs distributed three times more credit than lenders in the Republic of Congo and six times more than in Gabon, underscoring the sector’s scale. Of the 521 licensed MFIs operating across CEMAC in 2024, 384 were based in Cameroon, accounting for nearly 74 percent of the total.
The sector’s expansion mirrors Cameroon’s role as the economic engine of CEMAC, which accounts for about 40% of the subregion’s industrial output. The country’s more diversified economy has broadened the client base for financial institutions, including MFIs, commercial banks, and cooperative lenders.
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However, the growth of microfinance has exposed vulnerabilities. In recent years, a series of liquidations and provisional administrations have raised concerns over deposit safety and continuity of credit services. Observers note that these developments reflect tougher regulatory scrutiny rather than sudden deterioration in fundamentals.
According to David Kengne, director general of the Microfinance Academy, Cobac’s 2015 regulatory overhaul marked a turning point for the sector. “Before 2015, institutions meeting prudential ratios were considered sound, yet some showed strong financial indicators while suffering from governance failures or weak internal controls,” he said.
The revised framework expanded oversight beyond balance-sheet indicators to include operational controls, compliance, risk management, and internal audit standards. Following a transition period through 2020, Cobac stepped up inspections from 2021 onward, resulting in closures or takeovers of non-compliant institutions in Cameroon and across the CEMAC region.
Regulators say their aim is to clean up the sector, which is central to financing households, small businesses, and local economies. By enforcing higher governance and operational standards, authorities hope to restore confidence among millions of Cameroonian clients while ensuring the long-term stability and resilience of the microfinance sector.
Despite challenges, the sector continues to play a critical role in financial inclusion, particularly for populations in underserved areas. Licensed MFIs provide loans, savings products, and other services to individuals and small enterprises that often cannot access traditional banking.
“The sector is evolving,” Kengne added. “Better governance and compliance, combined with stronger supervision, are helping MFIs become more resilient while continuing to meet the financing needs of communities across the country and the region.”
As Cameroon consolidates its regulatory framework, the microfinance sector is poised to maintain its central role in driving economic activity and supporting inclusive growth in both urban and rural areas, even as authorities continue to clamp down on unlicensed operators.
Background to Cameroons Microfinance sector
Cameroon’s microfinance sector plays a vital role in expanding financial inclusion, especially for households, small businesses, and rural communities underserved by commercial banks. Over the past two decades, microfinance has evolved from a largely informal set of savings groups and cooperatives into a regulated financial subsector with hundreds of licensed institutions operating nationwide.
Microfinance in Cameroon traces its roots to grassroots savings and credit cooperatives that emerged in the 1980s and 1990s as a response to limited access to formal banking. These informal groupings laid the foundation for more structured microcredit providers in the early 2000s.
