Yaoundé, 16 October 2026 — Central African countries must accelerate the implementation of reforms already adopted to deliver measurable gains in competitiveness and investment, according to recommendations adopted at the close of the 42nd session of the Intergovernmental Committee of Senior Officials and Experts for Central Africa (ICSOE). Convened by the Subregional Office for Central Africa of the United Nations Economic Commission for Africa (ECA), the statutory meeting took place in Yaoundé from 13 to 15 October 2026.
An ECA study presented at the meeting, Accelerating the Implementation of Reforms to Invigorate the Private Sector at the Midpoint of the Decade of Economic Diversification in Central Africa (2021–2030), highlights a persistent gap between reforms adopted and their impact on businesses. Reducing production costs and easing financing constraints are essential to closing that gap and accelerating economic diversification.
Private sector representatives acknowledged progress in digitizing public services, establishing one-stop shops and developing business support mechanisms. They also welcomed the platform ECA provided to bring businesses’ concerns and expectations into the policy dialogue. They called, however, for these administrative improvements to be followed by structural reforms that improve conditions for production and investment.
The ECA study was discussed in plenary and breakout groups, examined in greater depth at a high-level roundtable, and subsequently endorsed by senior officials and experts. The discussions focused on strengthening the private sector as an engine of structural transformation at the midpoint of Central Africa’s Decade of Economic Diversification (2021–2030). The priorities identified are intended to guide action during the second half of the Decade.
Improve public investment efficiency to lower production costs
Electricity and transport costs constrain the profitability of processing industries. Public investment therefore needs to create better conditions for private investment, according to Narcisse Chassem, Deputy Executive Director of Cameroon’s employers’ association GECAM, who represented the Union of Central African Employers’ Associations (UNIPACE) at the meeting. He pointed, however, to a significant shortfall: “With an estimated public investment efficiency gap of 52.5 percent in Central Africa, it is clear that public spending is not creating a sound business environment. Businesses are still waiting for rail links and a reliable, efficient road network to expand trade. Despite the hydroelectric dams that have been built, electricity supply remains the main constraint on industrial activity.” Employers’ organizations across Central Africa therefore stressed governments’ responsibility to ensure electricity is available and reduce logistics costs as countries work to accelerate implementation of the African Continental Free Trade Area (AfCFTA).
Ease tax burdens and reduce business uncertainty
Beyond infrastructure, competitiveness also depends on a predictable tax and legal framework. Multiple levies and inspections raise compliance costs and can discourage businesses from entering the formal economy. Easing tax burdens therefore needs to go hand in hand with simpler tax regimes, clearer compliance requirements and stronger legal protection for property rights and contracts.
Simpler, more transparent rules can reduce the burden on businesses while improving tax compliance. At the same time, settling governments’ domestic debt obligations should ease cash-flow pressures and preserve firms’ ability to finance their operations.
Strengthen SME equity to expand access to finance
Access to finance requires a response that combines lending with stronger equity capital. In 2025, domestic credit to the private sector did not exceed 20 percent of GDP in any country in the subregion except Burundi, according to the study. Collateral requirements and limited financial information constrain lending. Undercapitalization further limits the ability of small and medium-sized enterprises (SMEs) to attract funding for investment and modernization.
Experts therefore recommended making an investment fund to strengthen SMEs’ equity a priority. They also recommended improving access to credit guarantees tailored to SMEs’ needs and the reliability of credit information. These measures should help finance the equipment, skills and technology adoption needed to upgrade production.
“Strengthening SMEs’ equity gives them a stronger base for raising additional financing. A dedicated investment fund will ease several constraints on access to credit, accelerate the modernization of their production systems and improve their governance,” said Babissakana, a financial engineering expert and Chairman and Chief Executive Officer of the consulting firm Prescriptor.
Coordinate government action and ensure accountability for results
Multiple checks along trade corridors and repeated tax inspections show how gains made in one government agency can be offset by burdens imposed by another. Coordination across public agencies therefore needs to be strengthened as a priority, alongside dialogue with businesses. Digitizing procedures and linking systems across government agencies should support this effort.
Monitoring should focus on the time and cost savings delivered to businesses. Making the Business Climate Observatory of the Central African Economic and Monetary Community (CEMAC) fully operational, then extending its coverage to all members of the Economic Community of Central African States (ECCAS), would strengthen the capacity to track results.
This approach also requires sustained political ownership, evaluation of policymakers’ performance and a political and social environment that supports reform. Learning from the reform experience of countries such as Mauritius, Rwanda and Singapore can help strengthen reform management and accountability, provided lessons are adapted to national contexts.
“Reforms deliver results when political leaders back implementation and those responsible are held accountable for their results. Peer learning allows countries to adapt practices that have already proved effective,” said Professor Viviane Ondoua Biwole, Director of the Economic Policy Management Training Program at the University of Yaoundé II–Soa.
Prepare and finance reforms for effective implementation
Faster implementation also requires reforms to be prepared as projects, with associated investments and clearly identified resources. Gaps in implementation capacity, financing and monitoring partly explain the disconnect between stated ambitions and actual outcomes.
Rigorous preparatory studies should estimate costs and assess expected impacts to guide resource allocation. “There is an urgent need to professionalize reform management. Project or reform management offices could serve as technical units within government, dedicated exclusively to developing, managing and evaluating projects,” Babissakana suggested. Comparing projected impacts with actual results would then help adjust interventions and allocate public resources more effectively.
To affirm Central Africa’s commitment to making the private sector the engine of the subregion’s economic transformation, the 42nd ICSOE session closed with the adoption of a declaration setting out its conclusions and recommendations. Progress in implementing those recommendations will be monitored and evaluated through 2030, the end of the Decade of Economic Diversification.
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Zacharie Roger MBARGA – Communications Officer
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