State guarantee to Small and Medium-sized Enterprises : Stakeholders Sensitised
This was during a meeting that took place at GICAM Douala on September 13.
Stakeholders in the Small and Medium Size Enterprises SMEs sectors in Douala have been sensitized on state guarantee facility which intends to improve the quality and increase the volume of credit granted to private companies, especially SMEs. This was during a meeting that took place on September 13 organised by GICAM. It is on record that the state of Cameron on July 17, 2023, through the Minister of Finance issued Order no 638/MINFI fixing the conditions for granting and the procedures for implementing the state guarantee to public establishments and public and private companies, for domestic loans for the financial year 2023.
Under this Order, the State portfolio guarantee is a legal commitment by which the State of Cameroon grants its guarantee to a person whose borrowing operations it wishes to facilitate, thereby guaranteeing to the lender the repayment of the guaranteed debt in the event of default by their debtors. In effect the State will therefore provide its guarantee to 15 banks and 37 microfinance institutions to facilitate borrowing transactions, by guaranteeing to these lenders the repayment of the guaranteed portion of the debt in the event of default by their debtor.
The state guarantee is capped at 30% of the sums due on the due date for large enterprises and up to 70% for SMEs. Consequently, the state of Cameroon entered an agreement with 15 banks and 37 microfinance institutions on 16 August 2023 in Yaoundé. Against this backdrop, it was im...
- 21 sept. 2023 12:51
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- 21 sept. 2023 12:47
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