BMI View: We have upgraded our medium - term forecast for Cameroon's construction sector based on the successful awarding of six contracts under the 20 project public private partnership programme, as well as news that several major projects are expected to enter construction in 2014. We now expect gr owth of 11. 4 % in 2014, wi th an annual average rate of 10.0 % between 2014 and 2016.
Cameroon's construction sector is expected to post strong growth, and this is further boosted by the initial success of its PPP programme. The government is reinvesting oil wealth in infrastructure. At the same time we are seeing heavy industry companies taking a build-your-own approach to necessary infrastructure. Heavy investment in expanding cement capacity indicates the scale of the infrastructure build-up and the expectation of continued growth. Expanding local cement supplies should also help to bring down industry costs, which have been highly volatile.
We have now priced in the additional upside presented by the 20 PPP projects announced by Cameroon's Ministry of Economy, Planning And Regional Development (MINEPAT). The projects, which range from transport to social and industrial infrastructure, were due to start in 2013. Cameroon has been ready to offer PPPs since the PPP Act was passed in 2006. However, this is shaping up as the biggest single PPP programme to-date in the country.
With the first six project successfully awarded, we have upgraded our growth outlook from 2014. We have also increased our growth expectations based on the start of construction of a number of projects, including the Limbe port, the Mbalam iron ore project and the Katsina Ala power plant. The following planned, and several other ongoing projects are supporting our positive outlook:
The Cameroon Infrastructure Report features Business Monitor International (BMI)'s market assessment and forecasts covering public procurement and spending on all major infrastructure and construction projects, including transportation and logistics by land, sea and air; power plants and utilities, and commercial construction and property development. The report analyses the impact of regulatory changes and the macroeconomic outlook and features competitive intelligence on contractors and suppliers.
BMI's Cameroon Infrastructure Report provides industry professionals and strategists, sector analysts, investors, trade associations and regulatory bodies with independent forecasts and competitive intelligence on the Cameroonian infrastructure and construction industry.
- Benchmark BMI's independent infrastructure industry forecasts for Cameroon to test other views - a key input for successful budgetary and planning in the Cameroonian infrastructure market.
- Target business opportunities and risks in the Cameroonian infrastructure sector through our reviews of latest industry trends, regulatory changes and major deals, projects and investments in Cameroon.
- Assess the activities, strategy and market position of your competitors, partners and clients via our Company Profiles (inc. SWOTs, KPIs and latest activity).
BMI Industry View
Summary of BMI's key industry forecasts, views and trend analysis covering infrastructure and construction, regulatory changes, major investments and projects and significant multinational and national company developments.
These are broken down into Construction (social, commercial and residential), Transport (roads, railways, ports, airports etc), and Energy & Utilities (powerplants, renewable projects, pipelines and so on).
Analysis of latest projects across the infrastructure sector (covering the transport, utilities and commercial construction sub-sectors) - including:
Market Overview:Analysis of the key elements driving developments, including evaluations of current capacity and future requirements.
Building Materials Overview
The building materials overview provides industry trend analysis on the global and regional demands for building materials and the impact of this on the emerging and developed markets.
Business Environment Ratings
BMI's Infrastructure Business Environment Ratings provide a country-comparative Risk-Reward Ratings index aimed at investors (construction companies, suppliers and partners) in the regional infrastructure market.
The ratings methodology makes sophisticated use of over 40 industry, economic and demographic data point.
Industry SWOT Analysis
Analysis of the major Strengths, Weaknesses, Opportunities and Threats within the infrastructure and construction sectors and within the broader political, economic and business environment.
BMI Industry & Economic Forecasts
Historic data series (2008-2012) and forecasts to end-2018 for all key industry and economic indicators, supported by explicit assumptions, plus analysis of key risks to the main forecast. Indicators include:
Construction: Industry value (US$bn); contribution to GDP (%); employment (`000); real growth (%).
Infrastructure: Value (US$bn); contribution to construction industry (%); real growth (%) of transport infrastructure (broken down by railways, airports, roads and bridges, ports and harbours) and energy and utilities (broken down by power plants and transmission grids, oil and gas pipelines, and water infrastructure).
Economy: Economic growth (%); nominal GDP (US$bn); unemployment (%); interest rates (%); exchange rate (against US$).
Examines the competitive positioning and short- to medium-term business strategies of key industry players. Strategy is examined within the context of BMI's industry forecasts, our macroeconomic views and our understanding of the wider competitive landscape to generate SWOT analyses. The latest financial and operating statistics and key company developments are also incorporated within the company profiles, enabling a full evaluation of recent company performance and future growth prospects.