H. E. Paul BIYA |
Fellow
Cameroonians,
My dear
compatriots,
It was our hope,
following a period of intensive political activity, that as 2014 was not an
election year, we would be free to devote ourselves primarily to reviving our
economic growth which, as you are aware, is a prerequisite for improving the
living conditions of our populations.
Such was not
exactly the case owing to the escalation of attacks against our national
territory by the Boko Haram sect. Besides this, there were the criminal
activities of armed gangs on our border with the Central African Republic.
Initially, the
Boko Haram terrorist organization carried out raids to seize isolated hostages
or loot public or private property.
Buoyed by their
grip on north-eastern Nigeria, the so-called “jihadists” launched major attacks
on the Far-North Region of our country, for instance, the attack on the
workers’ camp of a Chinese company at Waza and the raid on Kolofata, resulting
in several deaths and the abduction of many hostages.
This could not
be tolerated. We therefore set up a response and prevention mechanism which
quickly proved its worth. Since then, Boko Haram has suffered heavy human and
material losses in each of its attacks. It is hoped that they would learn their
lesson.
At this
juncture, I would like to pay glowing tribute to our defence forces whose
valour has been demonstrated in recent fighting.
I have had
occasion to say that the Nation as a whole ought to mobilize and rally behind
its defence forces.
Such seems to be
the case by all accounts from our regions. I have most particularly appreciated
the stance of our Muslim compatriots. They, like all the other Cameroonians,
have clearly understood that this war is by no means based on religion. They
have clearly understood that it is a response to external aggression by a
terrorist organization that does not subscribe to the values of a fraternal
society.
My dear
compatriots,
The growing
threats on our borders have prompted us to take measures to safeguard against
their effects on our internal security. Such is the purport of the law on the
suppression of terrorism which Parliament recently passed by a large majority.
It is far from serving as a pretext for restricting civil liberties, as claimed
by some ill-intentioned people. Besides, the instrument is very clear on this
point.
Furthermore,
faced with an upsurge in terrorist activities, most leading democratic
countries have in recent years passed new laws to prevent terrorism. By so
doing, they have complied with the recommendations of international
organizations, particularly the United Nations and the African Union. Such is
what we deemed appropriate to do. Therefore, our objective is to safeguard
against any terrorist-related risk as far as possible. Every State not only has
the right, but also the duty to protect its citizens. I am convinced that the
vast majority of our compatriots do understand.
I would also
like to recall here that Cameroon is not the only country facing this threat
which knows no boundaries. Some of our neighbouring countries, namely Benin,
Chad, Niger and Nigeria, are collaborating with us to form a united front
against Boko Haram.
The United
Nations Organization and several big powers, particularly the United States of
America, Germany, France, Russia and China, also back us. I will be revisiting
this issue before long.
It goes without
saying that mobilizing the required resources for our defence means additional
spending. As you are aware, the situation in the Central African Republic also
warrants our vigilance on our eastern border. We are forced to host tens of
thousands of refugees from this brotherly country. I take this opportunity to
commend the valuable assistance we are receiving from humanitarian
organizations. It is clear that our duty-bound solidarity has an impact on the
budget. But, we must also understand that security has a price.
My dear
compatriots,
As I said at the
onset, we were obliged to prioritize the defence of the national territory,
for, there can be no peace without security and no development without peace.
Nonetheless, we have not relented in our efforts to revive growth. Now that our
democratic institutions are fully functional, growth is the focus of our
policy. As I stated earlier on, our growth is a prerequisite for a strong
economy and, hence, our capacity to roll back poverty and progress towards
emergence.
A quick
evaluation of our economic programme shows that our first-generation major
projects are either completed, nearing completion, or on track. Such is the case,
in particular, for the Kribi Gas-fired Plant and Port, dams and hydroelectric
power plants, as well as some road and various infrastructure projects.
Thanks to these
projects, there is renewed activity in various sectors of our economy. The
impact on employment and the improvement of living conditions is also visible.
The year 2015 should therefore be characterized by the launching of
second-generation projects in the energy, water, road and highway and transport
sectors.
My dear
compatriots,
Most of the
major undertakings announced in my address on 31 December 2013 have been
fulfilled.
1.We celebrated
the FIFTIETH ANNIVERSARY OF CAMEROON’S REUNIFICATION last February in Buea with
all the necessary pomp and solemnity. The town of Buea, which has been provided
with various infrastructure, has been completely transformed. The impact of
this celebration was also felt in neighbouring towns. This key moment of
national unity is a milestone in our history.
2.I also
promised substantial improvements in the health domain. These are now
realities. Malaria treatment for children aged below five is now free. Our
health map now comprises three new referral hospitals: the Yaounde National
Emergency Centre, the Douala Gynaecology, Obstetrics and Paediatric Hospital and
the Sangmelima Referral Hospital.
3.The employment
spin-offs of our growth policy which I referred to a while ago have been
confirmed. In 2014, 283 443 new jobs were created against 250 000 projected, as
you would recall.
4.You would also
recall that I underscored the need for Cameroon to have a viable emergency plan
for the coming years. This announcement as well has been translated into
reality. The said plan was adopted and launched during the Council of Ministers
meeting held on 9 December. I will come back to this later.
My dear
compatriots,
Should we be
content with these results which can objectively be considered positive?
Substantial progress has been achieved as confirmed by the recent triennial
appraisal report on the implementation of the Growth and Employment Strategy
Paper. That being the case, I will simply say that we can and should do even
better. I am convinced, as I pointed out last year under the same
circumstances, that we must increase our growth rate at all costs. Are we sure
we have done all we can?
Take the case of
investment for instance, which has so far been largely initiated by the State
and reserved especially for anchor and social projects. Public Investment
Budget allocations have increased considerably in recent years. In 2014, they
represented about one-third of the overall budget, or approximately CFAF 1 000
(one thousand) billion. This is commendable. However, in terms of execution,
there are hurdles and project implementation is often slowed down. I decried
such under-utilization of budgetary appropriations. As you know, our needs are
obvious and urgent. I am pleased to note that this year, there has been a
marked improvement in contract execution rates which should increasingly match
commitment rates.
Although in 2013
the public authorities, through Parliament, adopted major incentives for
private investment, the latter still seems unable to take over from the
State.
However, there
seems to be progress in this direction among local and foreign entrepreneurs
thanks largely to awareness-raising campaigns by investment promotion bodies.
This is proven by the recent signing of 13 agreements in the Ministry of
Industry, worth CFAF 180 billion.
I want to
believe this is just the beginning. We do need an ambitious industrial policy.
There can be no great country without industry. Even agriculture, which I love
to say is the principal source of our wealth, is also expected to go
“industrial”.
It is
understandable that the implementation of our major iron and bauxite mining
projects, whose ultimate goal also is industrialization, is dragging as such
projects are complex. Conversely, there is no plausible reason for our slowness
in developing industries to process our agricultural commodities.
Besides the
benefits we could derive in terms of value added and employment, local
processing will contribute towards rebalancing our foreign trade which is
showing a structural deficit.
In fact, our
trade balance is characterized by a significant import surplus against exports
which largely depend on the sale of three or four commodities whose prices are
unstable. Our imports, for their part, mostly concern manufactured products,
notably capital goods for our major projects. Obviously, it is difficult for us
to restrict our purchase of capital goods. That, we understand. On the other
hand, we should be able to limit the importation of the commodities we are able
to produce.
These remarks
which I am compelled to make once more reflect the difficulty we are facing
moving from a State-dominated economy to a more liberal system which is now the
rule. The situation is such that sometimes we suffer the disadvantages of both
systems. This, to me, explains the resistance to structural reforms which is
stifling our growth revival efforts.
Some of these
reforms concern our governance, particularly public finance. Significant
progress has been made in this area and needs to be consolidated by ensuring
budget sustainability, reducing subsidies as much as possible and reviewing the
tax base. On the whole, our administration would stand to benefit by
streamlining its procedures and, as I said recently and instructed, cutting
down on its spending.
My dear
compatriots,
To jumpstart our
growth, I have instructed the Government to implement a three-year “emergency
plan”. Its objective is to achieve visible progress and measurable improvements
in vital areas such as urban development, health, agriculture, roads, energy,
low-cost housing and security. I expect the said plan to meet the most urgent
needs of our populations nationwide.
This initiative
is different from our Growth and Employment Strategy which will continue to be
implemented by the Government. About CFAF 1 000 (one thousand) billion will be
allocated to the plan. The implementation of this plan will determine whether
we are capable of meeting the challenge whose outline and timeframe we have
ourselves defined.
Of course, it is
crucial for our country to meet this challenge. We have the wherewithal.
My dear
compatriots,
In a few hours,
you will be happily celebrating New Year’s Day.
However, before
that, let us spare a thought for our soldiers who have fallen defending our
Fatherland. Let us spare a thought for those securing our borders, their
grieving or anxious families and our compatriots who are suffering physical and
psychological pain.
I would now like
to extend to you all my best wishes for good health and happiness in the New
Year.
Happy and
prosperous New Year 2015!
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