(Cameroon Business) – Cameroon faces potential financial liabilities totaling CFA Francs 87.49 billion due to ongoing disputes with contractors involved in major public works projects, according to the government’s 2024 General Account Accreditation Report.
The State Auditor’s Office report identifies a series of legal risks primarily related to the Department of Public Works. Depending on the outcome of the lawsuit, these off-budget efforts could impose significant additional burdens on states.
Woori Bridge Arbitration and Road Project Dispute
The first major case concerns Sogea Satom and Soletanche Bachy, joint contractors of the Second Ouri Bridge, a project worth CFA 141.6 billion. The bridge is essential to ease traffic between the main industrial areas of Bonaveri and the center of Douala and improve connectivity to the western, northwestern and southwestern regions.
The dispute has been brought to the International Chamber of Commerce Arbitration Court in Paris. According to information reported by the African Intelligence Agency, the conflict stems from the failure of the Cameroonian state to fulfill its obligations as a contracting authority. The Court of Auditors currently estimates the financial risk to the state from this arbitration at CFA 15 billion.
The second major dispute involves the Andrade Gutiérrez Zagope group, which won the contract for the Garoua Boulay to Ngaoundere road project. This main route connects Cameroon with the Central African Republic, Nigeria and Chad. The 89-kilometre section was handed over in October 2018 after approval by an inter-ministerial committee and the project’s funders, particularly the African Development Bank and the World Bank. The construction cost 41.42 billion CFA francs, with a further 1.5 billion francs supervised by Egis. Although the report does not specify the cause of the dispute, the Court of Auditors recorded a potential risk of CFA 52 billion, reflecting the scale of the Brazilian company’s claims.
Local contractors and contract weaknesses
Several local service providers are also embroiled in major disputes. Super Comfort SARL under contract number 79/M/MINTP/CSPM PLANUT/2020 has an estimated risk of CFA Francs 11.94 billion. Two other cases involving Bofaces could cost the state CFA 14.32 billion and CFA 23.4 billion, taking the company’s total potential losses to more than CFA 37 billion.
Taken together, these cases demonstrate systemic weaknesses in the implementation, monitoring and protection of public procurement contracts. The large costs involved pose significant financial risks and raise concerns about project management, contract oversight and governance of major infrastructure works. As Cameroon embarks on new large-scale projects, the Court of Audit has indicated the need for tighter controls to limit financial exposures that could affect the country’s financial stability.
Amina Malom
