Finance officials described the response from subscribers to government treasury bonds as a huge success, during a press briefing held in Yaounde, last evening.

More than FCFA 200 billion worth of treasury bonds have been subscribed to under the “ECMR 5,6% net 2010-2015” campaign launched by government on December 6, 2010 to raise FCFA 200 billion in national and international financial markets to fund its contribution to key infrastructural projects retained under the 2010 state financial budget.

The revelation was made yesterday Wednesday December 22, 2010 in Yaounde by President of the Board of Directors of the Douala Stock Exchange, DSX, Benedict Belibi during a press briefing organised by the Minister of Finance. “The government treasury bond issue was a huge success. It was over-subscribed,” announced Benedict Belibi who hastened to add that the government requested FCFA 200 billion but received more, beating all the records that so far exist in the CFA zone financial markets. To him, it was a record for FCFA 200 billion was the highest amount ever raised through the government treasury bond system in the zone. Moreso, a record period of just 15 days was used to register over 800 subscribers. “Subscribers participated from all CEMAC member countries as well as France, Belgium and China,” he added before explaining that following the norms in the financial market, the Financial Markets Commission will have to further validate the process prior to its full entry into force on December 29, 2010. With more than FCFA 200 billion raised, the press also learnt that a committee will sit to select and retain the subscribers, giving priority to individuals, enterprises and investors, in that order. The money of subscribers that will not be retained will be returned into their bank accounts.

In welcoming the good news and offering a toast to that effect, the Minister of Finance, Essimi Menye saw in the results the recognition of Cameroon as a performer to be respected. “Cameroon has entered into financial markets to finance its development,” he said and recounted that the Head of State, Paul Biya, had prescribed government’s borrowing from financial markets through treasury bonds while preparing the 2010 state budget. “This constitutes the attainment of an objective fixed by the Head of State and now we have the duty to execute our ambitions, particularly the greatest,” he said. Essimi Menye admitted that that the “ECMR 5,6% net 2010-2015” bond issue was just a trial process. “What had to be learnt has been learnt,” he said while hailing the efforts of partners and staff that made the results possible. He assured that the treasury bonds were certified, will be managed by the autonomous sinking fund and will be reimbursed without the intervention of the treasury at an annual 5,6 per cent interest payable as from end of December 2011. “This is just the beginning; we will go into other major financial markets in the world in future to raise funds needed to speed up our development,” he further said.

George MBELLA