The leader of the International Monetary Fund (IMF) mission to Cameroon, Mario de Zamaroczy says government should re-evaluate priorities in preparing the 2016 State budget with emphasis on the most profitable projects having a substantial impact on growth.

He made this statement at a press conference granted at the end of the IMF consultation discussions in Cameroon that ook place from September 10 to 23.

According to him,the mission recommends the adoption of a debt policy that is more oriented toward borrowing on more concessional terms and calls for the public investment programme to be rationalized and consolidated with other investment plans such as the ‘emergency plan.

The IMF recommendations take into account the global and regional economic environment that has significantly deteriorated since the last IMF mission in May 2014, he said.

Mario de Zamaroczy explained that, is because of the slump in world oil prices that has impacted government revenue.

“The terrorist attacks in the Far North, as well as the problem of displaced persons within the country and the refugees from the Central African Republic, have generated additional expenditure,” he said.

For these reasons, the mission has observed that the level of public debt is growing rapidly and which has been contracted on increasingly onerous terms and a weak financial performance of the public sector. The mission recommended a better monitoring of the performance and debt situation of public enterprises and the need to implement the reforms required to promote stronger and more inclusive growth,he added.

On a positive note, Zamaroczy said Cameroon’s economy has demonstrated some resiliency which has enable it to grow by almost 6 percent in 2014, thanks particularly to increased oil production and rising public investment.

“For 2015, growth in Gross Domestic Product (GDP) is expected to be close to 6 percent once again, thanks to a strong showing by certain sectors, such as construction, public works, financial services and the increase in oil production,” .

He stated that, the positive indicators, would however, be dampened by the full-year impact of the oil shock, as well as by the efforts to combat terrorism.

The IMF Executive Board is expected to consider the staff report on the 2015 Article IV Consultation with Cameroon in mid-November 2015.

The mission members had consultations with government officials, the highest being Prime Minister, Philemon Yang, representatives of the private sector, labour unions, civil society organizations, academia as well as technical and financial partners.