By NOELA EBOB BISONG
The Minister of Decentralisation and Local Development, Georges Elanga Obam on October 24, 2019, made public a circular letter addressed to Government Delegates to City Councils, Mayors and Presidents of Council Unions in the country. The letter has as focus the preparation and execution of council budgets for the 2020 financial year.
According to the Minister, the main objectives in Cameroon in 2020 shall be to support the positive growth which started in 2018, as well as to deepen and accelerate the decentralisation process with the aim of improving the living environment and conditions of the population.
He emphasises that the purpose of the circular is to give instructions on:
Local public policy choices aimed at strengthening inclusive economic growth that creates jobs, take into account the exercise of the powers transferred, continue implementation of council development plans, improve local governance, strengthen the debt situation of city councils, councils and council unions among others.
The circular centers on four major parts, including: the Macroeconomic Context; Revenue and Expenditure Projections; Budget Execution; Support, Monitoring and Control.
In one of its sub parts, the circular reads that the amounts of the General Operating Grant (GOG) allocated by City Councils to Sub-divisional Councils are henceforth set as follows:
FCFA 180million for the Douala City Council/year/Sub-divisional Council (FCFA 45million/quarter/Sub-divisional council);
FCFA 100million for the Yaounde City Council/year/Sub-divisional Council (FCFA 25million/quarter/Sub-divisional council);
FCFA 40million for the Garoua City Council/year/Sub-divisional Council (FCFA 10million/quarter/Sub-divisional Council);
FCFA 15million for the Bafoussam, Bertoua, Edea, Ebolowa, Kribi, Ngaoundere and Nkongsamba City Councils/Sub-divisional Council (FCFA 3,750,000/quarter/Sub-divisional Council);
while City Councils in Bamenda, Kumba, Limbe and Maroua, termed economically affected areas are to disburse FCFA 10million/year/Sub-divisional Council (FCFA 2,500,000/quarter/Sub-divisional Council).
This recent text contradicts the former one, wherein the City Councils of Kumba, Limbe and Bamenda were requested to disburse FCFA 40million annually to each of their sub-divisional councils (FCFA 10million quarterly). The drop in the General Operating Grant in sub-divisional councils in the aforementioned areas is certainly going to give them a tough time, as many currently have huge deficits especially in the payment of workers’ salaries. For example, those in Limbe are already paying the price, as the main contributors to the City Council, SONARA (65%) and the CDC are currently facing tough times. Though one of the recommendations at the Major National dialogue is that at least 10-15% of the National Budget should be applied to local councils to effect the decentralisation process, Minister George Elanga’s circular puts it into question, for how effective Decentralisation will take place without adequate financial powers to the councils, remains a million dollar question.