An agreement has signed between International Finance Corporation (IFC), a member of the World Bank Group, and Standard Chartered Bank Cameroon to offer financial assistance of US $ 16.5 million to support cotton production in the Central African country of Cameroon. “This credit is an example of the excellent collaboration between our bank and IFC to support Sodecoton, which has been operating for more than 40 years and is highly strategic for the government “We look forward to continuing IFC’s collaboration on similar transactions,” said Chuks Ugha, Managing Director of Standard Chartered Bank Cameroon.
The investment is part of a one-year credit of Euros 31 million for prior export financing, granted by Standard Chartered Bank Cameroon to the Cotton Development Corporation (Sodecoton).
This appropriation will be used to finance the cotton season of Sodecoton, notably to finance the purchase of cottonseed from producers, ginning by Sodecoton and the transport of cotton bales for the port of Douala, where they are exported to international markets.
Sodecoton, a state-owned company, buys 100 per cent of cotton production in Cameroon. Cotton is the main agricultural production in northern Cameroon.
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“It is crucial for IFC to support the cotton sector in Cameroon. As you know, the cotton sector is the main provider of jobs in northern Cameroon, and provides income to about 3 million Cameroonians,” said Mehita Sylla, IFC Resident Representative for Central Africa in a statement issued by the IFC.
