Biya Announces Looming Economic Crisis

By Kini Nsom

President Paul Biya has called on Cameroonians to sharpen their stoicism in order to face an eventual economic crisis that looms following the global financial crisis. He made the admonishing statement in his traditional end-of-year message to the nation last December 31.

President Biya observed that the international financial crisis may not seriously threaten 
what he called Cameroon’s sound banking system. But, he was emphatic that “the possibility of our being affected by a real economic crisis in the medium term cannot be ruled out”

The President of the Republic said such economic asphyxia will be fuelled by a decline in 
the country’s exports due to the current slump in oil and commodity prices. This, he hinted, could lead to a drop in tax and custom revenue.

Given the very complex situation, the President said it is difficult to accurately predict 
the degree of impact of the crisis on Cameroon’s economy. He, nonetheless, warned that it will not derail ongoing efforts to revive economic growth that has been sentenced to a 
stunted growth rate that oscillates between 3 and 4 percent over the past few years.

While further speculating on the crisis; President Biya remarked: “the assumption most often made is that it could be relatively short-lived and could be curbed in early 2010. If such were the case, we should stay on course so as to anticipate the end of the crisis.”

Biya said a possible way of stemming the tides is to step up efforts at developing the 
agricultural sector and launching major energy, industrial and mining projects in the 
country.

This, he said, can only be possible if government pursues the extension of roads, ports and telecommunications infrastructure in the country. Biya boasted that the State was already setting an example in its employment endeavors by authorising substantial recruitments in 
the Army and Police force.

The President warned that the worse thing to happen would be for Cameroonians to lose hope and resign themselves to the economic depression. He said although there could be a global solution to the looming crisis, it will be prudent in the present circumstances for 
Cameroonians to count on their own strength and adopt the motto: God helps those who help themselves. He said Cameroon should look nowhere else for the solution of its problems.

Hear him: “We do not lack the means to get out of this tight corner. We must, at all costs, use as best as we can, the resources of our public investment budget and funds accruing from debt cancellation.” He condemned the fact that country’s investment budget that stands at 25% of this year’s budget has continued to face a poor execution rate over the years.

To him, banks must be convinced to conduct less tentative lending policy, by eventually 
providing them with collaterals.“We must channel individual savings, which are by no means insignificant, towards projects that are profitable in the short term,” he stated. Biya pledged government commitment to consolidate the fight against price hikes and encourage consumption.

He said this must be done with greater attention to the situation of the population segment that is most vulnerable to any economic slowdown. He promised to consolidate the provision of basic services in the education, health and infrastructural domains.

While calling on Cameroonians to galvanise their efforts against the economic crisis, Biya 
said “I have the conviction that, if we use our resources to the fullest, if we face the 
crisis with determination, we will go through this new ordeal without much damage”.
He said the road map of his reforms in 2009 will be to fight poverty, revive growth and 
intensify the fight against corruption.

The President equally reviewed landmark events in 2008, taking credit for the peaceful hand over of the Bakassi Peninsular to Cameroon by Nigeria. He claimed that the putting in place of Elections Cameroon, ELECAM, will strengthen the credibility of Cameroon’s electoral system.

To him, the consolidation of Cameroon’s democratic institutions will be achieved when the 
current decentralisation process culminates in the putting in place of the Senate, which is 
the upper House of Parliament. Going by him, the government execution of the Poverty 
Reduction and Growth Facility, PRGF, programme with the supervision of the IMF achieved 
positive results that ensured an increase in the country’s economic growth and a curb in the inflation rate.

While commenting on the nationwide riots that broke in February 2008, Biya said people had a right to express their grievances but condemned the fact that they gave into excesses and allowed politicians to exploit the situation. He blamed public authorities for lacking the necessary foresight that would have enabled them to avert such an unpleasant situation.

He took credit for taking measures to arrest the situation by ordering a cut on fuel prices and those of basic commodities.

Comments

[Dr A A Agbormbai]

"...it will be prudent in the present circumstances for
Cameroonians to count on their own strength and adopt the motto... He said Cameroon should look nowhere else for the solution of its problems."

This is a change in mentality for Cameroon, which is prone to sitting tight and looking up to its colonial masters for solutions to its problems. I hope this new spirit prevails.

"He claimed that the putting in place of Elections Cameroon, ELECAM, will strengthen the credibility of Cameroon’s electoral system."

This is a fallacious statement. While ELECAM seems to be a reasonably well-legislated system the fact remains that Biya has selected only his CPDM cronies as representatives of ELECAM.

This means that the whole question of BIAS, that has besieged previous elections, remains in place. It also means that the CPDM has won all elections to come in Cameroon, well before the elections have taken place. What this implies is that there is really no need for elections taking place in Cameroon; after all, we already know the winner. Any elections conducted henceforth are a showpiece and a waste of money.

Further implications are:

1) Electoral democracy does not exist in Cameroon. The system of selecting the Head of State is a dictatorial system disguised as a democratic process.

2) Biya is still not interested in correcting this telling electoral problem that continues to set Cameroon backwards, even though he has the power to do so.

3) Biya is not exactly an example of a magnanimous man. He is not thinking with goodwill about the future of Cameroon, as a true patriot should. He is more concerned about his own future, a selfish position to take. This is hardly a good example of self-sacrifice for his country. What can he then expect of the ordinary citizen?

4) Biya and his CPDM, even though they have unfair financial advantages over any other party (and even though they currently look like the only party that can win a fair election in Cameroon), lack electoral self-confidence. They are shy... retracted... when it comes to organising fair elections. This is why they are still scared of putting forward a fair electoral system. Yet without such a system the CPDM will continue to remain an unvalidated ruling party in the eyes of the world.

We keep asking... taking away all its well-publicised electoral fraud, can the CPDM really win a fair election... one that is governed by a truly objective body? This question will always remain, and will always generate a sour taste, as long as Biya and his CPDM refuse to abandon their corrupt practices.

5) Biya continues to believe that he can continue to dribble the world undetected. He takes the world for a fool, and the international community pretends not to notice.

The international community was expected to pressure Biya into selecting the right balance of representatives for Elecam, so that for once in its history Cameroon can step over a major obstacle to progress by having an electoral system it can truly believe in.

But the international community chose to fail Cameroon. They abandoned the people of Cameroon and are now siding with Biya to work against the people of Cameroon. Can you imagine this? For God's sake!

[Nditam]

Nice piece Dr.Agbormbai, but I still repeat my point as in my previous comments 'the West is in part, if not entirely one of the reasons Cameroon is what it is today'.I am a Cameroonian with a passion for business, but I remain very skeptical about the political inclination of Cameroon.With Biya still in, I doubt how much of the much needed entrepreneurial spirit Cameroon needs Cameroonians can really bring in.Can/should we take the chance or wait till after 2011?Thatz my dilemma!!

[lewis]

Haha!!! I think why Biya isn't even facing the criticisms more is because he has an effective mafia which plays the role greatly with the west. You may like to hear this, about 1/3 of money embezzled from Cameroon is given to some key western leaders who can be detrimental to Biya's stay in power if not tipped.They won't loot from their country ,but will get all they want from African leaders.
Secondly, most of us Cameroonians in the diaspora are doing our best to silencec our poor families back home with our hard earned Euros or Dollars. With monthly support from relatives abroad, most Cameroonian families are better off with this than those toiling in the civil service. So the families no longer look at Biya as an obstacle any longer and have just decided to ignore him.
My God !!! Why has thou abandoned thy people? We don't want to stain our hands with the blood of Biya but dear Gracious one, can you do us that favour by taking him to your bossom? Father, it's a distress call and prayer. The Bible says we should not rebel against authorities in power,coz no authority exists without God's approval.Father lord, what is our crime for approving this authority for so long?
I beg you Lord to forgive our sin then and liberate us from this ruler.
In you we base all our hope . Amen !!