World Bank warned the government of the Republic of Cameroon to minimize spending as the country’s debt level is already at an alarming level.
Despite the advice and warning of the World Bank, Cameroon through its Minister of the Economy, Louis Paul Motaze proceeded in borrowing a total of 187.804 billion fcfa from the African Development Fund (ADF) and African Development Bank (ADB).
Negotiations to award the loan were finalized in June 8, Thursday in Yaoundé between Cameroon Economy Minister Louis Paul Motaze, representatives of ADF and the ADB. The loan is for the purpose of revamping several road networks in Cameroon.
The two conventions refer to the fractional funding of the second phase of the transport division support programme. This phase includes the rehabilitation of the Yaoundé-Bafoussam-Babadjou road which is about 241 kilometers, the construction of the significant Zambi-Kribi stretch of road of about 53 kilometers and the construction of the Maroua-Bogo-Pouss part of road with about 83.16 kilometers long.
The African Development Banks is expected to give 177.208 billion fcfa while the African Development Fund will provide the remaining 10.596 million fcfa of the expected loan.
Since the government of President Biya is largely known for having a high level of embezzlement and corruption of government funds, it is perceived that half of the tremendous amount of loan money will just go to the personal pockets instead serving the real objective of development.