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Central African Republic vs. Cameroon

Economy

Central African RepublicCameroon
Economy - overview

Subsistence agriculture, together with forestry and mining, remains the backbone of the economy of the Central African Republic (CAR), with about 60% of the population living in outlying areas. The agricultural sector generates more than half of estimated GDP, although statistics are unreliable in the conflict-prone country. Timber and diamonds account for most export earnings, followed by cotton. Important constraints to economic development include the CAR's landlocked geography, poor transportation system, largely unskilled work force, and legacy of misdirected macroeconomic policies. Factional fighting between the government and its opponents remains a drag on economic revitalization. Distribution of income is highly unequal and grants from the international community can only partially meet humanitarian needs. CAR shares a common currency with the Central African Monetary Union. The currency is pegged to the Euro.

Since 2009, the IMF has worked closely with the government to institute reforms that have resulted in some improvement in budget transparency, but other problems remain. The government's additional spending in the run-up to the 2011 election worsened CAR's fiscal situation. In 2012, the World Bank approved $125 million in funding for transport infrastructure and regional trade, focused on the route between CAR's capital and the port of Douala in Cameroon. In July 2016, the IMF approved a three-year extended credit facility valued at $116 million; in mid-2017, the IMF completed a review of CAR's fiscal performance and broadly approved of the government's management, although issues with revenue collection, weak government capacity, and transparency remain. The World Bank in late 2016 approved a $20 million grant to restore basic fiscal management, improve transparency, and assist with economic recovery.

Participation in the Kimberley Process, a commitment to remove conflict diamonds from the global supply chain, led to a partially lifted the ban on diamond exports from CAR in 2015, but persistent insecurity is likely to constrain real GDP growth.

Cameroon's market-based, diversified economy features oil and gas, timber, aluminum, agriculture, mining and the service sector. Oil remains Cameroon's main export commodity, and despite falling global oil prices, still accounts for nearly 40% of exports. Cameroon's economy suffers from factors that often impact underdeveloped countries, such as stagnant per capita income, a relatively inequitable distribution of income, a top-heavy civil service, endemic corruption, continuing inefficiencies of a large parastatal system in key sectors, and a generally unfavorable climate for business enterprise.

Since 1990, the government has embarked on various IMF and World Bank programs designed to spur business investment, increase efficiency in agriculture, improve trade, and recapitalize the nation's banks. The IMF continues to press for economic reforms, including increased budget transparency, privatization, and poverty reduction programs. The Government of Cameroon provides subsidies for electricity, food, and fuel that have strained the federal budget and diverted funds from education, healthcare, and infrastructure projects, as low oil prices have led to lower revenues.

Cameroon devotes significant resources to several large infrastructure projects currently under construction, including a deep seaport in Kribi and the Lom Pangar Hydropower Project. Cameroon's energy sector continues to diversify, recently opening a natural gas-powered electricity generating plant. Cameroon continues to seek foreign investment to improve its inadequate infrastructure, create jobs, and improve its economic footprint, but its unfavorable business environment remains a significant deterrent to foreign investment.

GDP (purchasing power parity)$4.483 billion (2019 est.)

$4.354 billion (2018 est.)

$4.195 billion (2017 est.)

note: data are in 2017 dollars
$94.248 billion (2019 est.)

$90.868 billion (2018 est.)

$87.32 billion (2017 est.)

note: data are in 2017 dollars
GDP - real growth rate4.3% (2017 est.)

4.5% (2016 est.)

4.8% (2015 est.)
3.5% (2017 est.)

4.6% (2016 est.)

5.7% (2015 est.)
GDP - per capita (PPP)$945 (2019 est.)

$933 (2018 est.)

$913 (2017 est.)

note: data are in 2017 dollars
$3,642 (2019 est.)

$3,604 (2018 est.)

$3,555 (2017 est.)

note: data are in 2017 dollars
GDP - composition by sectoragriculture: 43.2% (2017 est.)

industry: 16% (2017 est.)

services: 40.8% (2017 est.)
agriculture: 16.7% (2017 est.)

industry: 26.5% (2017 est.)

services: 56.8% (2017 est.)
Population below poverty line62% NA (2008 est.)37.5% (2014 est.)
Household income or consumption by percentage sharelowest 10%: 2.1%

highest 10%: 33% (2003)
lowest 10%: 37.5%

highest 10%: 35.4% (2001)
Inflation rate (consumer prices)2.7% (2019 est.)

1.6% (2018 est.)

4.2% (2017 est.)
2.4% (2019 est.)

1% (2018 est.)

0.6% (2017 est.)
Labor force2.242 million (2017 est.)9.912 million (2017 est.)
Unemployment rate6.9% (2017 est.)4.3% (2014 est.)

30% (2001 est.)
Distribution of family income - Gini index43.6 (2003 est.)

61.3 (1993)
46.5 (2014 est.)

46.6 (2014 est.)
Budgetrevenues: 282.9 million (2017 est.)

expenditures: 300.1 million (2017 est.)
revenues: 5.363 billion (2017 est.)

expenditures: 6.556 billion (2017 est.)
Industriesgold and diamond mining, logging, brewing, sugar refiningpetroleum production and refining, aluminum production, food processing, light consumer goods, textiles, lumber, ship repair
Industrial production growth rate3.9% (2017 est.)3.3% (2017 est.)
Agriculture - productscassava, yams, groundnuts, taro, bananas, sugar cane, beef, maize, plantains, milkcassava, plantains, maize, oil palm fruit, taro, sugar cane, sorghum, tomatoes, bananas, vegetables
Exports$113.7 million (2017 est.)

$101.5 million (2016 est.)
$4.732 billion (2017 est.)

$4.561 billion (2016 est.)
Exports - commoditieslumber, gold, diamonds, sea vessels, cocoa paste (2019)crude petroleum, cocoa beans, lumber, gold, natural gas, bananas (2019)
Exports - partnersChina 41%, United Arab Emirates 19%, France 7% (2019)China 17%, Netherlands 14%, Italy 9%, United Arab Emirates 8%, India 7%, United States 6%, Belgium 6%, Spain 5%, France 5% (2019)
Imports$393.1 million (2017 est.)

$342.2 million (2016 est.)
$4.812 billion (2017 est.)

$4.827 billion (2016 est.)
Imports - commoditiesrefined petroleum, packaged medicines, natural gas, broadcasting equipment, second-hand clothing (2019)crude petroleum, scrap vessels, rice, special purpose ships, packaged medicines (2019)
Imports - partnersIndia 18%, France 12%, United States 11%, China 9%, Netherlands 7%, Belgium 7%, Malta 6% (2019)China 28%, Nigeria 15%, France 9%, Belgium 6% (2019)
Debt - external$779.9 million (31 December 2017 est.)

$691.5 million (31 December 2016 est.)
$9.375 billion (31 December 2017 est.)

$7.364 billion (31 December 2016 est.)
Exchange ratesCooperation Financiere en Afrique Centrale francs (XAF) per US dollar -

605.3 (2017 est.)

593.01 (2016 est.)

593.01 (2015 est.)

591.45 (2014 est.)

494.42 (2013 est.)
Cooperation Financiere en Afrique Centrale francs (XAF) per US dollar -

605.3 (2017 est.)

593.01 (2016 est.)

593.01 (2015 est.)

591.45 (2014 est.)

494.42 (2013 est.)
Fiscal yearcalendar year1 July - 30 June
Public debt52.9% of GDP (2017 est.)

56% of GDP (2016 est.)
36.9% of GDP (2017 est.)

32.5% of GDP (2016 est.)
Reserves of foreign exchange and gold$304.3 million (31 December 2017 est.)

$252.5 million (31 December 2016 est.)
$3.235 billion (31 December 2017 est.)

$2.26 billion (31 December 2016 est.)
Current Account Balance-$163 million (2017 est.)

-$97 million (2016 est.)
-$932 million (2017 est.)

-$1.034 billion (2016 est.)
GDP (official exchange rate)$1.937 billion (2017 est.)$34.99 billion (2017 est.)
Ease of Doing Business Index scoresOverall score: 35.6 (2020)

Starting a Business score: 63.2 (2020)

Trading score: 52.4 (2020)

Enforcement score: 31.4 (2020)
Overall score: 46.1 (2020)

Starting a Business score: 86.3 (2020)

Trading score: 16 (2020)

Enforcement score: 39.9 (2020)
Taxes and other revenues14.6% (of GDP) (2017 est.)15.3% (of GDP) (2017 est.)
Budget surplus (+) or deficit (-)-0.9% (of GDP) (2017 est.)-3.4% (of GDP) (2017 est.)
GDP - composition, by end usehousehold consumption: 95.3% (2017 est.)

government consumption: 8.5% (2017 est.)

investment in fixed capital: 13.7% (2017 est.)

investment in inventories: 0% (2017 est.)

exports of goods and services: 12% (2017 est.)

imports of goods and services: -29.5% (2017 est.)
household consumption: 66.3% (2017 est.)

government consumption: 11.8% (2017 est.)

investment in fixed capital: 21.6% (2017 est.)

investment in inventories: -0.3% (2017 est.)

exports of goods and services: 21.6% (2017 est.)

imports of goods and services: -20.9% (2017 est.)
Gross national saving5.4% of GDP (2017 est.)

8.2% of GDP (2016 est.)

4.2% of GDP (2015 est.)
17.7% of GDP (2018 est.)

18.2% of GDP (2017 est.)

23.9% of GDP (2015 est.)

Source: CIA Factbook