The Minister of Finance defended the bill in the Committee on Finance and Budget of the National Assembly on November 24, 2014.

Finance Minister, Alamine Ousmane Mey has said the implementation of the first-ever programme budget has brought improvements in the execution of the 2013 State budget in spite of the global economic situation. Alamine Ousmane Mey was speaking to reporters yesterday, November 24, 2014 at the National Assembly after defending the 2013 draft Settlement Bill in the Finance and Budget Committee whose Chairperson is Hon. Rosette Ayayi Moutymbo. It was in the presence of the Vice Prime Minister, Minister Delegate at the President in charge of Relations with the Assemblies, Amadou Ali. The 2013 State Budget stood at FCFA 3, 236 billion.

Alamine Ousmane Mey revealed that performance was favourable with revenue executed at almost 93.41 per cent far from projections and expenditures at 91.92 per cent. Projections for generated revenue and loans and grants stood were FCFA 2, 662 billion and FCAF 574 billion respectively. He however, noted that weaknesses abound and they have identified such loopholes in line with the new Finance Regime. MINFI boss explained that it is necessary government takes measures to improve the implementation of the on-going result-based budgeting which is expected at the end to improve the livelihood of the population.

In his presentation of the draft Bill, Alamine Ousmane Mey noted that the 2013 Finance Law opened commitment authorisations for a total amount of FCFA 3, 733, 650 000 000 in respect to payment credits of FCFA 3, 236 billion. Revenue collected amounted to FCFA 3, 022 907 925 888 recording a 93.41 per cent collection rate compared to forecasts with generated revenue at FCFA 2, 665, 816, 319, 702 and loans and grants at FCFA 357, 091, 606, 186.

Authorised expenditure stood at FCFA 2, 974, 552, 242, 606 representing 91 .92 per cent execution rate compared to initial appropriations. Recurrent expenditure amounted to FCFA 1, 849, 523, 816, 763, out of forecasts of FCFA 2, 004, 596 634, 570 and public capital expenditure at FCFA 832, 927, 756, 116, out of forecasts of FCFA 917, 403, 365, 430. Public debt servicing amounted to FCFA 292, 100, 669, 727, out of forecasts of FCFA 314 billion. The difference between budget revenue execution and budget expenditure execution showed a surplus budget balance of FCFA 48, 355, 683, 282.

Tax Convention

The Finance and Budget Committee also scrutinised the draft bill Authorising the President of the Republic to Ratify the Tax Convention between the Republic of Cameroon and the Kingdom of Morocco for the Avoidance of Double Taxation and the Prevention of Tax Evasion with respect to Taxes and Income. The Minister of Finance said the avoidance of taxation meant reinforcing and strengthening investment on both sides. South South cooperation is therefore important and Cameroon stands a better chance of benefitting from Moroccan investments if the physical environment is conducive. Avoiding double taxation will give relief to such companies in terms of revenue collected therefore increasing a return in investment. It will also spur Cameroonians to invest in Morocco and take advantage of the double tax avoidance.