In a statement on July 30, Cameroon’s Minister of Economy, Planning, and Regional Development, Alamine Ousmane Mey, announced the signing of an €122.73 million (CFA80.5 billion) financing agreement with the Islamic Development Bank (IsDB) on July 3. This funding will support the Cameroon-Chad Electrical Interconnection Project (Pirect). This deal follows President Paul Biya’s authorization on May 14 for the minister to finalize the loan agreement with the IsDB.

This new loan adds to a previous €271.3 million (about CFA178 billion) funding from the World Bank in December 2023. The total project cost is CFA557.5 billion and is backed by several international institutions and national contributions. Besides the World Bank (the largest contributor) and the IsDB, the African Development Bank (CFA169.2 billion), the European Union (CFA19.7 billion), and the two countries’ governments, with Cameroon contributing CFA56.2 billion, are also funding the project.

According to Minister Mey, the IsDB funding “will be used to construct four high-voltage electrical substations.” Pirect aims to enhance the energy infrastructure of both countries and integrate them into the Central African Power Pool (Peac). The project, expected to be completed by 2027, will enable Cameroon to become an electricity exporter, supplying 100 megawatts to Chad. Additionally, it will facilitate the construction of 566 km of 225 kV overhead lines and two additional substations in Cameroon. These infrastructures will serve 409 localities in the northern regions of Adamaoua, North, and Far North.

Source: Business in Cameroon