Cameroon’s african development bank funding: high approvals, persistent disbursement challenges

Cameroon’s partnership with the African Development Bank (AfDB) reveals a significant surge in approved funding, though the actual utilization of these resources continues to face hurdles. Since the implementation of the 2023-2028 Country Strategy Paper (CSP), the pan-African institution has greenlit eight new operations for Yaoundé, totaling an impressive 833.8 billion FCFA. This figure represents 67.9% of the initial indicative envelope, which was set at 1,227.5 billion FCFA for the period. These details were made public on July 17, 2026, by the Bank, following a joint review conducted three days prior in the Cameroonian capital.

The acceleration in commitments is unmistakable. The AfDB now pegs its total engagements for Cameroon at 1,603.6 billion FCFA in 2026, marking a substantial increase from 1,226.2 billion FCFA at the CSP’s outset. This progression amounts to 377.4 billion FCFA, an increase of nearly 31%. Concurrently, the nation’s annual capacity to access sovereign window resources has climbed from 273.3 billion to 429.4 billion FCFA, a rise of 57.1%. Such figures underscore the multilateral lender’s renewed confidence in Cameroon’s economic trajectory.

Disbursement rate stuck at 26%

Despite these robust commitments, the conversion of pledges into tangible expenditures remains sluggish. The entire active portfolio, valued at 1,629.2 billion FCFA during the joint review on July 14, 2026, shows a cumulative disbursement rate of merely 26%. This ratio encompasses both operations predating the current CSP and those approved since 2023. It signifies a broader, structural challenge for the country in effectively absorbing available financing, rather than solely reflecting the newly approved 833.8 billion FCFA.

During the review, several persistent issues were identified as root causes for these delays. The signing and activation of financing agreements often experience protracted timelines. Furthermore, the allocation of counterpart funds by the Public Treasury frequently proves inadequate, and audit reports are consistently submitted late to the lender. These procedural bottlenecks impede every stage, from project approval to actual implementation, affecting prerequisite fulfillment, procurement processes, contractor mobilization, and the timely release of funding tranches.

Transport and energy dominate funding allocations

A sectoral analysis of the portfolio confirms a strong emphasis on heavy infrastructure. The transport sector commands 53.83% of mobilized resources, closely followed by energy, which accounts for 22.32%. Agriculture holds a 10.8% share, while the social sector receives 9.19%. When translated to the total value of the active portfolio, these proportions represent approximately 877 billion FCFA for transport and 364 billion FCFA for energy. Together, these two segments monopolize over three-quarters of the Bank’s exposure in Cameroon.

The Ministry of Economy has highlighted several key achievements stemming from this collaboration. These include the construction of over 570 kilometers of roads, the Nachtigal hydroelectric plant with its 420 MW installed capacity, and the distribution of more than 133,000 tons of fertilizers and improved seeds. Ongoing projects are projected to generate over 14,500 direct jobs, with a specific focus on opportunities for youth and women. However, these projections remain contingent on the effective commencement of works.

Decline in red alert projects signals progress

A positive trend has emerged from recent evaluations. The proportion of projects flagged as