To reinforce NW, SW & Far North reconstruction: Biya increases 2023 state budget by 381.8 billion FCFA.

The increase is principally to reinforce reconstruction and development of parts of the country devastated by conflicts, especially the North West, South West and Far North Regions

In the ordinance signed by the President on June 2, amending the 2023 finance law, it was stated that the increase is to finance reconstruction of the economically distressed areas in the Far North, North West and South West Regions. 

The reconstruction ceiling is now set at 29,131,000,000 FCFA. Therefore, this increase will affect mostly the special appropriation account that has now been fixed at 367.7 billion FCFA. 

This also implies that the special appropriation account has increased by 14.1 billion FCFA. The modifications will be submitted to parliament for approval during the coming ordinary session, billed for opening on June 8.

Accordingly, the overall state budget will increase from 6345.1 billion FCFA to 6726.9 billion FCFA.

Apart from boosting reconstruction effort, the increase is also meant to ease repayment of public debts and up support for households, for which allocated amendments were equally made by President Biya.

The government document reminded Cameroonians that the fiscal adjustment is coming in an economic environment marked by gradual recovery of an economy that was rocked by the outbreak of the COVID-19 pandemic, and its attendant economic and other shocks.

It indicated that the shocks led to a difficult financial situation that affected, not only Cameroon but the whole world; but for Cameroon, specifically, exacerbated by volatility in oil prices, more so as the latter is one of Cameroon’s frontline export commodities.

Specifically, President Biya stated that the ordinance to amend and supplement some provisions of law number 2022/020 of 27 December 2022: Finance Law of the Republic of Cameroon for the 2023 fiscal year; affects only a few sections of the overall state budget.

Therefore, the provisions are affecting section forty-seven that borders on the reconstruction of economically distressed areas in the Far North, North West and South West Regions. 

It also affects sections sixty-five, sixty-six, sixty-seven, sixty-eight, sixty-nine, seventy, seventy-one, seventy-three, seventy-six, seventy-seven, and seventy-eight. 

Consequently, the finance law will be amended accordingly, with the ceiling of resources allocated to reconstruction works witnessing the required increase.