Business

Cameroon – Public Management: Public Contract reform saved FCFA 500 billion in five years, according to Abba Sadou

Written by Deckson N.

The seventh reform in 2011 in the public procurement sector in Cameroon is yielding good results. At least this is what Abba Sadou, the Minister of Public Contracts, revealed in an interview with the government daily. According to him, the reform has enabled the Treasury to save 500 billion CFA francs over the past five years.

These savings, it is said, have been achieved by significantly reducing the number of public contracts awarded over the counter (from 46% to 10% today). According to Minister Abba Sadou, “the promotion of healthy competition is such that some multinationals that in the past dictate their prices in public procurement have had to drastically reduce them to win contracts in Cameroon.”

In addition to the downturn in prices formerly practiced by multinationals, it has been said, the institution of prior approval of payment documents enables the Ministry of Public Contracts to verify the conformity and value of work actually carried out with the amounts of payments Solicited by the providers, made it possible to carry out “pecuniary adjustments valued at about 40 billion in only three years“.

At the same time, several billions of CFA francs have been saved by detecting double billings in certain markets, extra billing or requests for payments for unexecuted services. “The vigilance of the Ministry of Public Contracts on erroneous quantities of earthworks has resulted in a reduction of more than 2 billion CFA francs on the amount of an amendment to the market for the development of the east entrance of Douala “Said Minister Abba Sadou, who also said that” the market for the project to supply drinking water to the city of Yaoundé and its surroundings from the Sanaga, which initially had only five flat prices, Was upgraded and signed with more than 1000 unit prices, plus 30% subcontracting of services to local SMEs.”

Beyond the savings achieved, the seventh reform of the public procurement sector in Cameroon has led to considerable improvements in the performance of services, with more than 90% of the contracts fully executed and Ten regions of the country since 2015, a considerable reduction in abandoned yards and fictitious markets, etc.

About the author

Deckson N.

Leave a Comment

Please wait...

Subscribe to our site and be Informed!

Want to be notified when our article is published? Enter your email address and name below to be the first to know.