The Cameroonian government will soon get a loan of FCfa 48.2 billion from the International Islamic Trade Finance Corporation (ITFC), a subsidiary of the group of the Islamic Development Bank.
The information was revealed through a decree from the Head of State enabling the minister of Economy to sign this agreement on behalf of the Cameroonian government. According to the presidential text, this funding will be used to “purchase agricultural inputs and cotton seeds, and their sale to the Cameroonian government”.
The purpose of this funding would suggest that this is a new support from IDB to the Cotton Development Company (SODECOTON), a public company which is the jewel of the agribusiness in the northern part of Cameroon.
Indeed, IDB is among the principal lenders to this company, who in order prepare its seasons, generally goes for important loans from local banks as well as international financial institutions, in order to provide inputs and pay the producers it manages in the northern part of the country.