Cameroon - Competitiveness and Economic Growth Support Programme, Phase III (PACCE III) (AFDB-P-CM-KA0-015)

Countries
  • Cameroon
Where the impacts of the investment may be experienced.
Financial Institutions
  • African Development Bank (AFDB)
International, regional and national development finance institutions. Many of these banks have a public interest mission, such as poverty reduction.
Project Status
Approved
Bank Risk Rating
U
Risk rating varies among banks and may refer only to the particular investment and not to the risk for the project as a whole. Projects marked 'U' have an 'Unknown' risk rating at the time of disclosure.
Voting Date
Nov 26, 2019
The estimate day the bank will vote on a proposed investment. The decision dates may change, so review updated project documents or contact the EWS team.
Borrower
MINISTERE DU PLAN - DE L'AMENAGEMENT DU TERRITOIRE
The holder of the loan, grant, or other investment.
Sectors
  • Finance
The service or industry focus of the investment. A project can have several sectors.
Investment Amount (USD)
$ 49.44 million
Value listed on project documents at time of disclosure. If necessary, converted to USD$. Please review updated project documents for more information.
Currency conversion note:
Bank reported U.A 65,054,859.7
Converted using 2019-11-26 exchange rate.
Bank Documents
Primary Source

Original disclosure @ AFDB website

Updated in EWS Jun 15, 2020


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Project Description

The proposed intervention concerns a EUR 80.4 million AfDB loan to finance the third phase of the Competitiveness and Economic Growth Support Programme (PACCE III). PACCE was approved in November 2017 as a multi-year programme-based operation that covers three years (2017, 2018, and 2019). PACCE III is designed to consolidate the achievements of PACCE I and II. This is the last operation of the three-year programmebased operations for a total amount of EUR 411 million. The programme is structured around two (2) mutually interdependent and complementary components: (i) streamlining of the public finance management framework; and (ii) strengthening of governance and competitiveness in productive sectors. PACCE III will complement the other operations financed by the African Development Bank Group in Cameroon. In particular, its implementation will enhance the impact of infrastructure and agricultural investment projects that were approved recently or are in the process of being approved, namely: (i) Road Programme 2: Yaounde-Bafoussam (UA 12.8 million); (ii) Central African Backbone Project (UA 31.1 million), and (iii) PD-CVA Agricultural Value Chains Project (UA 79.4 million). The expected potential impact of these projects, coupled with that of the ongoing structural reforms, will unlock Cameroon's full potential for long-term development through macroeconomic stabilisation, effective public policy, improved competitiveness and economic diversification, and the creation of decent jobs.

PACCE seeks to support the implementation of GESP and PLANUT, which strive to accelerate growth and reduce unemployment and the incidence of poverty. To that end, the proposed programme aims at: (i) consolidating the State's budgetary position by streamlining public expenditure in order to build up buffers needed to finance priority investments; and (ii) creating favourable conditions for sustainable and inclusive growth by strengthening governance and competitiveness of productive sectors and improving the efficiency and quality of road and energy infrastructure, as well as the legal, regulatory and institutional environment.

The programme beneficiaries remain the same as in the two previous PACCE phases. The direct beneficiaries are the Government of Cameroon, through the Ministries and administrative services in charge of the Economy, Finance, Agriculture and Rural Development, and Stockbreeding and Fisheries, Public Works and Energy. Economic growth brought by the creation of sustainable jobs in the agropastoral sector, in particular, will ultimately benefit the Cameroonian population. The private sector, particularly road subsector SMEs run by women and young people in rural areas, will be the indirect PACCE beneficiaries. Programme measures for the energy, transport and rural development sectors will, in the medium term, provide better access to electricity, better maintained roads, and fair access to public procurement, as well as create an environment conducive to the development of their activities.

Investment Description
  • African Development Bank (AFDB)
Contact Information

LUMBILA Kevin Numbi

k.lumbila@afdb.org

ACCOUNTABILITY MECHANISM OF AfDB

The Independent Review Mechanism (IRM), which is administered by the Compliance Review and Mediation Unit (CRMU), is the independent complaint mechanism and fact-finding body for people who have been or are likely to be adversely affected by an African Development Bank (AfDB)-financed project. If you submit a complaint to the IRM, it may assist you by either seeking to address your problems by facilitating a dispute resolution dialogue between you and those implementing the project and/or investigating whether the AfDB complied with its policies to prevent environmental and social harms. You can submit a complaint electronically by emailing crmuinfo@afdb.org, b.kargougou@afdb.org, b.fall@afdb.org, and/or s.toure@afdb.org. You can learn more about the IRM and how to file a complaint at https://www.afdb.org/en/independent-review-mechanism/.