CAMEROON: PM ON INVESTMENT, PRIVATIZATION, AFRICOM

UNCLAS YAOUNDE 001342 SIPDIS SENSITIVE SIPDIS E.O. 12958: N/A TAGS: CM EAIR ECON MASS PREL PINR SUBJECT: CAMEROON: PM ON INVESTMENT, PRIVATIZATION, AFRICOM ¶1. (SBU) Summary: In a November 1 meeting with the Ambassador, Cameroon Prime Minister Ephraim Inoni said CAMAIR was being retendered, while the privatization of CAMTEL was pending due to changes in the tender documents. He hoped to streamline a multitude of investment promotion initiatives and noted that participants in a recent meeting of Central African leaders were open to Africom but reached no consensus position. End summary. Privatization ============= ¶2. (U) The GRC hopes to recruit a consultant by the middle of November to help carry out a tendering process for CAMAIR. The government hopes to identify a strategic partner that will have a 51 percent share of the company, with the remainder in government hands. If there is a good response to the tendering process, a partner could be in place within six months, he said. The GRC still plans to privatize CAMTEL but the tender documents need to be adjusted because they included fiber optic and pipeline infrastructure that did not belong to CAMTEL Investment Council ================== ¶3. (U) Inoni saw the need to coordinate and to some extent merge multiple investment bodies, such as separate investment initiatives by the Commonwealth and World Bank. He also saw the need to staff the PM's Investment Council, which currently has no staff to implement decisions. AFRICOM ======= ¶4. (SBU) Inoni thought Africom "makes sense" and noted that he was recently in Brazzaville for a Central African meeting at which Africom was discussed. Central African countries were open to participation in Africom, were not opposed to it, but had no common position, Inoni said. Other countries did not have the same level of information about Africom as Cameroon, he said, noting that it would be good to further sensitize countries in the region. The Ambassador agreed that it was important for Africom to be done right and she welcomed this kind of regional consultation. ¶5. (SBU) Comment: The privatization of CAMAIR and CAMTEL appear to be making little progress. The PM seems serious about making something useful out of the Investment Council, which has held several meetings and is consulting with the private sector. Envisioned as a consultative body, the Council is in its early stages but could help give policy direction to the government's stated desire to improve the investment climate. GARVEY