France has warned that delayed payments to French companies operating in Cameroon could undermine investor confidence and threaten the country’s investment climate, highlighting a growing challenge in economic relations between the two nations.
The warning followed discussions between Cameroon’s Finance Minister Louis Paul Motaze and France’s Minister Delegate for Foreign Trade and Attractiveness, Nicolas Forissier. According to Forissier, late settlement of government contracts is a key obstacle to expanding business ties and attracting new French investors.
“There is an important issue that needs to be resolved if we want to bring in more companies or build new partnerships, and that is the fact that payments are sometimes delayed,” Forissier said.
The issue is particularly acute in the public works sector, where Cameroonian officials acknowledge that tens of billions of CFA francs remain unpaid to French firms involved in urban and intercity road projects. Such arrears have created uncertainty for companies, even as Cameroon faces significant infrastructure and development needs.
France views prompt settlement of public contracts as a critical step to restore investor confidence. “There are always reasons, I understand that perfectly, but anything that helps eliminate payment delays also improves the attractiveness of Cameroon’s economy,” Forissier added.
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To address the problem, France has offered to deepen technical cooperation with Cameroon, particularly in public financial management and administrative processes. The aim is to reduce payment timelines, ensure more predictable disbursements, and create a more stable business environment. “France is ready to provide its expertise to find solutions that improve the business climate and encourage more French companies to invest in Cameroon,” he said.
Economic ties and trade flows
France remains one of Cameroon’s most important economic partners. It is the country’s sixth-largest trading partner, hosting over 200 French companies in Cameroon, which together employ more than 20,000 people.
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Trade between the two countries reached nearly US$1.5 billion in 2023, down 9% from 2022 but up 57% from 2015. French exports to Cameroon fell 11% to approximately US$564 million, while imports from Cameroon decreased 9% to around US$903 million, leaving the trade balance slightly in Cameroon’s favor.
Despite these figures, Forissier emphasized that delayed payments, administrative inefficiencies, and regulatory uncertainties remain significant barriers to investment. He cited the need for greater transparency, predictability, and clarity in regulations as essential conditions for encouraging long-term investments.
Investment climate and structural concerns
Analysts note that late payments to foreign contractors are symptomatic of broader challenges in Cameroon’s investment environment. While the country has maintained steady economic growth in recent years, uncertainties around contract execution, administrative procedures, and public financial management have created friction with international partners.
For France, the stakes are high. Beyond economic relations, timely settlements and improved regulatory practices are seen as necessary to safeguard confidence in Cameroon’s broader business environment and to secure future investments in infrastructure, energy, and public services projects.
The French government’s intervention signals its intent to preserve economic partnerships while offering technical support to strengthen Cameroon’s public financial systems. Cooperation could include reforms to streamline payment processes, reduce bureaucratic delays, and improve monitoring of government contract execution.
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Looking ahead
As Cameroon seeks to attract more international investors, resolving payment delays will be critical to ensuring confidence in its public sector projects. France’s warnings underscore the link between administrative efficiency, fiscal discipline, and investor trust.
With over 200 French companies operating locally, improvements in payment timeliness, regulatory clarity, and administrative stability could encourage increased investment, bolster economic growth, and strengthen bilateral ties. The coming months will be closely watched by investors and policymakers alike, as Cameroon balances the need for public infrastructure development with maintaining a reliable, transparent business environment.
