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Cameroon Stagnates in World Bank Doing Business Report

The country maintains its last 161st spot out of the 185 economies surveyed.

Visibly, Cameroon has not progressed in its efforts to better its business climate that is said to be keeping investors, especially direct foreign investors, off the country. According to the 2013 World Bank Doing Business Report, a survey carried out in 185 economies, Cameroon remains stagnant on 161st position like was the case in the 2012 report. The report ranks the economies in 10 areas including starting a business, dealing with construction permits, getting electricity, registering property, getting credit, protecting investors, paying taxes, trading across borders, enforcing contracts and resolving insolvency. In the last survey, (2012 Doing Business Report), Cameroon gained four places, moving from 165 to 161 spot.

According to the 2012 report, Cameroon made starting a business easier by replacing the requirement for a copy of the founders’ criminal records with one for a sworn declaration at the time of the company’s registration, and by reducing publication fees. It also made access to credit improved through amendments to the OHADA Uniform Act on Secured Transactions that broaden the range of assets that can be used as collateral (including future assets), extend the security interest to the proceeds of the original asset and introduce the possibility of out-of-court enforcement.

Although Cameroon has remained stagnant on the overall classification table, its best performance has however come from registering property in which it is ranked 63rd. and getting electricity where Cameroon is ranked 95th. Its worse performances are from paying taxes where it is ranked 176th, enforcing contracts where the country came 172nd out of 185 and ease of doing business where it occupies the 161st spot. Curiously, announced reforms in starting a business which is said to be 72 hours now, is yet to attract international acclaim as the country is on the 125 spot in that domain.

If Singapore has maintained its grip on the first spot as the most investment-friendly of the 185 economies across the world, Mauritius has singled out itself in Sub-Saharan Africa. Of the 46 economies surveyed in the region, Mauritius is first with interesting reforms in getting electricity, paying taxes and trading across borders and starting a business. Cameroon occupies the 30th spot in the region with its best performance coming from getting electricity where it occupies the 3rd position out of 46.

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