Economy: State On The Move To Revamp SONARA

The Sum of Over 261 billion FCFA raised to Increase It’s Activities.

The government of Cameroon is bent to revamp the activities of the National Oil Refinery Company (SONARA) whose progress has not been felt since May 31, 2019 fire incident by investing the sum of over 261 billion FCFA to augment it’s activities . The State through the Minister of Finance on the 15th of October 2021, engaged in signing an agreement with different banking establishment to restructure the organization bank debt.

Louis Paul Motaze the Finance Minister revealed that “The agreement we have just signed allows SONARA’s debt to carry out activities calmly.” The finance boss requested a frequent report from the actors involve in the processing of the debt file.

The sum of over 261.433.450 999 FCFA is the amount that the company will get to relaunch its activities with the Cameroon government sponsoring. Within 10 years, the company is expected to reimburse the debt thanks to the almost a year negotiation with about 9 banking structures.

Worth noting is the fact that, SONARA had an estimated debt of over 717 billion FCFA with the sum of 284 billion FCFA included as bank debt by the 31st December 2019. The debt is made up of unpaid letters of credit and short, medium and long term credits. There is no gainsaying that, from the time of the fire disaster, the activities of the company have been on a slow pace pushing the government to establish a task force to restructure and repay its debts.

The signing on that day took place after the SONARA Board of Directors voted a resolution empowering the Chief Executive Officer to pen his signature.

By Takang Bisong

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