Cameroon has secured a US$800 million funding package from the International Islamic Trade Finance Corporation (ITFC), a member of the Islamic Development Bank (IsDB).

Financing of the package, which includes support for letters of credit (L/Cs) for smaller businesses operating in the central African country, will be gradually disbursed as loans over the 2024-27 period.

Overall aims

The comprehensive support package aims to enhance Cameroon's infrastructure and agricultural productivity. This involves financing projects essential for Cameroon's strategic development goals, including improving transportation networks and energy generation capabilities.

Central to the support package will be increased focus on access to financial services for Cameroonian enterprises, with the aim of boosting trade and fostering economic diversification under ITFC's flagship Africa Arab Trade Bridges programme.

L/C support and more

The package includes the provision of financing lines and confirmation of L/Cs to local banks to support small- and medium-sized enterprises (SMEs).

The funding also targets the marketing of agricultural commodities such as cotton, and the provision of agricultural inputs and basic energy products, including oil, alumina and electricity.

This article represents the views of the author and not necessarily those of the ICC or Coastline Solutions.