EU unlocks 30 billion FCFA in financing for Cameroon’s SMEs

Yaoundé and Brussels have activated a groundbreaking financial mechanism to ease access to bank loans for Cameroon’s small and medium-sized enterprises (SMEs).

The initiative, rolled out under the Economic Development Support Project through Value Chain Promotion and Private Sector Initiatives (PAD-CV), is designed to unlock up to 30 billion FCFA in credit from local banks, backed by a 6 billion FCFA financial guarantee. An additional 9.8 billion FCFA has been allocated to provide technical support to participating businesses.

The 6 billion FCFA guarantee will not be distributed directly to companies. Instead, it will serve as collateral for banks when extending loans to entrepreneurs with viable projects. The remaining funds will finance coaching, training, and business plan development assistance to help businesses meet banking requirements.

Interested enterprises must submit their proposals through an open call launched on July 15, accessible via the platform padcv-cm.net. The submission window will remain open for three months. Shortlisted projects will undergo a thorough evaluation before receiving financing. Those selected will receive hands-on guidance, including financial diagnostics and business model refinement, to ensure their applications meet stringent bank lending criteria.

The program targets a wide range of economic actors, including micro-enterprises, SMEs, startups, cooperatives, common initiative groups (GICs), producer associations, digital clusters, and incubators. A special emphasis is placed on supporting women- and youth-led businesses.

This financial support package is expected to strengthen Cameroon’s private sector, foster job creation, and drive sustainable economic growth through improved access to capital.