Cameroon’s draft budget for the year 2019 stands at 4,850.5 billion CFA francs.
The 2019 draft budget, for the finance bill was tabled in parliament on Friday, 16 November 2018.
The bill shows a 3.4% increase, representing 161 billion CFA Francs compared to that of the current year which stood at 4689.5 billion CFA francs.
Specificities of the draft budget
The draft finance law has been elaborated under a specific context. It is said to be a translation of zeal to boost the country’s strong economic growth within an international environment, characterised by relative increase in oil prices.
It also meets the aspirations of the triannal economic and financial programmme concluded on 26th June 2017 with the International Monetary Fund, (IMF).
The prevailing pockets of insecurity in the Far North, North West and South West regions have been taken into consideration in the elaboartion of the bill.
The exigences of the decentralisation process are covered by the draft budget.
In 2019,Cameroon will be expected to finance the electoral process.
At least two elections have been scheduled; the Legislative and municipal elections. At the same time, Cameroon will host the Africa Cup of Nations, AFCON a major continental event that the President of the Republic holds personnally at heart.
The budget was tabled in parliament at a time when the Head of State has announced the recruitment of 2000 Ph.D holders within three years. The first batch of 1000 Ph.D holders will be recruited in 2019.
Assumptions in elaborating the draft
The 2019 finance bill was elaborated with the assumption that the GDP rate will be estimated at 4.4 percent while a barrel of oil will be maintained at 63.5 U.S Dollars and a parity of 555.1 CFA Francs for 1 US Dollar.
According to the draft, there was a tax burden from 13.1 % in 2018 to 13.2 in 2019.
Public expenditure will be reduced to keep debts under control.
The business climate willl be improve to reinforce guarantees to tax payers.
There was an increase in the treshold of non concessinal loans from 436 Billion CFA Francs to 500 billion CFA Francs.
The budget allocated to the Ministry of Decentralisation and local development has signifacantly increased, as the Ministry is expected to fast track the decentralisation process within the year.
Some other Ministries and the General Delegation for National Security have also seen an increments in their annual budgetary allocations.
Sources of the revenue
Non oil revenue: 3,079.5 billions
Oil and gas : 450 billion
project loans : 588 billiion
government security issues : 260 billion
banking and financing : 65 billion
Budget support from partners : 329 billion
Grants : 79bilion
Recurrent : 2,465.5
Capital expenditure: 1,327.6
Public debt servicing: 1,057.4 bilion