By Ikome Christie-Noella Eposi
Cameroon’s Minister of Finance, Louis Paul Motaze has officially launched the 2025 state budget in Buea and Limbe, South-West Region, unveiling a comprehensive development agenda aimed at economic revitalisation, infrastructure rehabilitation, and social cohesion.
The 2025 Finance Law, enacted on December 23, 2024, outlines a total national budget of FCFA 7,317.7 Billion, reflecting an increase of FCFA 39.6 billion from the previous year. The budget, it is said, aims to accelerate economic recovery, foster inclusive growth and reinforce national unity, particularly in conflict-affected regions.
Key development projects in South West
A significant portion of the 2025 budget is allocated to infrastructure and social development projects in the South-West Region, totaling FCFA 59.8 billion. This allocation covers centrally managed and devolved funds dedicated to improving living conditions and stimulating economic growth. Key projects include: Road Infrastructure – FCFA 10 billion for the rehabilitation of the Bekoko-Limbe-Idenau road, FCFA 7 billion for tarring the EkondoTiti-Kumba road, FCFA 4.5 billionq+ for completing the Kumba-Mamfe road, FCFA 1 billion for tarring of the Buea (Mermoz)-Sasse-Wotutu-Limbé road and FCFA 4 billion for construction of the Bangem-Nguti road.
As concerns the Energy Sector, FCFA 1 billion will be used for supplying, installing, and commissioning SONARA’s 90/30 KV high-voltage substation and Securing land for the construction of the Limbe gas-fired power plant.
In regards to Education and Health, FCFA 219 million will be used for completing and equipping Government Technical High School Ombe, FCFA 600 million for continuing rehabilitation and expansion at NASLA, FCFA 60 million for constructing a surgical and hospitalisation unit at the Kumba District Hospital and 215 million for a Mother and Child Care Unit at Mundemba District Hospital.
Reconstruction and Social Cohesion efforts
The Presidential Reconstruction Programme will receive FCFA 36.4 billion, up from 34 billion in 2024. This funding targets the rebuilding of schools, hospitals, water systems, and electricity grids, revitalising businesses, providing housing kits and supporting community events to foster social harmony.
Additionally, the National Committee for Disarmament, Demobilisation, and Reintegration (NCDDR) has been allocated FCFA 4.4 billion to encourage former fighters to surrender and reintegrate into society.
Support for Public Enterprises and Investment Incentives
Public enterprises in conflict-affected areas will continue receiving government support. The Cameroon Development Corporation (CDC) will see the remaining FCFA 15 billion of its wage debt cleared in 2025, following the ongoing payment of FCFA 20 billion in 2024. The government also recapitalized SONARA with FCFA 145.4 billion and arranged long-term financing for its debts.
To stimulate investment, especially in regions affected by conflict, tax incentives have been granted. Since 2017, 33 companies have invested FCFA 168 billion, creating over 15,000 jobs, with the South-West Region accounting for more than half of these investments.
Tax Reforms and Economic Stimulus
The 2025 Finance Law introduces tax reforms designed to ease the tax burden and support economic growth, including: VAT exemption on locally produced flour (corn, cassava, etc.), reduction of the TSPP on industrial gas from FCFA 60 to FCFA 50 per m³, tax cuts on dividends for SMEs from 15% to 10%, lower registration duties on residential leases and inheritance tax reductions, a 50% rebate on imported electric vehicles to promote green energy and reduce fuel subsidies.
Commitment to timely execution
Minister Motaze while launching the budget emphasised on the need for prompt action in executing these projects. He urged all stakeholders to begin tendering processes immediately to avoid delays. Public service providers were also called upon to uphold professionalism and contribute to the region’s economic development.
The Minister concluded by reaffirming government’s dedication to sustainable growth and social welfare, reflecting President Paul Biya’s vision for a prosperous and united Cameroon.
While exalting the stakeholders for completion of projects on a rate of 72.81 % in 2024, he called on them to ensure projects are followed up and completed in 2025. “You are responsible of monitoring the execution of the works or services until they are completed. I urge you to launch proceedings next week for all the contracts under your jurisdiction. Ensure projects work on the deadlines and in accordance with the law”, Minister Motaze said.
He also called on economic operators to ensure the projects given to them are executed within the timeframe, given that, they are partners to the Government. “You are the partners without whom execution would, hardly be achieved; you are also service providers and are responsible for ensuring that the work and services entrusted to you by the project owners are performed adequately”, he told.
With an objective to reach the target of 8% in the 2025 budget, the representatives of the Minister of Economy and that of Public Contracts used the over five hours deliberation to sensitise the stakeholders on the role they need to play to see the various projects executed.
Reactions to the Budget, Projects
Senator MbellaMoki Charles says, “We think that contractors have the funny attitude of not giving satisfaction to the beneficiary communities, in that they have a way of not producing the desired results, but end up being paid! This is what we are not going to take this time. Control mechanisms should be put in place in ensuring that perfection and description are being spelled out. And the budget should be met so that happiness and satisfaction should follow after all is done”.
Njie Thomas Kinge, (Principal Civil Administrator, Director of North-South Cooperation and Multilateral Organisation from the Ministry of Economy, Planning and Regional Development) on his part reacted that, “The government has put in place certain level of flexibility or innovations to be able to assist stakeholders get the needed resources thereby reducing the delay of budgets coming from Yaoundé as the Tender Board will now be able to commission projects. Also, mistakes can now be corrected locally without the credits being cancelled and the reports sent to Yaoundé so projects can go continue.”
CDC General Manager, Franklin Ngoni Njie says, “With the first disbursement of FCFA 20 billion, and this year 2025 the second installment of FCFA 15 billion to be done, the State is taking away the debts of CDC…This is a great move from the Government to motivate workers to work, perform and produce results and CDC will once more be able to contribute in the social economic life of the country.”