{"id":122358,"date":"2026-01-12T09:37:12","date_gmt":"2026-01-12T09:37:12","guid":{"rendered":"https:\/\/my.legal500.com\/guides\/?post_type=comparative_guide&#038;p=122358"},"modified":"2026-01-12T09:37:12","modified_gmt":"2026-01-12T09:37:12","slug":"cameroon-investing-in","status":"publish","type":"comparative_guide","link":"https:\/\/my.legal500.com\/guides\/chapter\/cameroon-investing-in\/","title":{"rendered":"Cameroon: Investing In"},"content":{"rendered":"","protected":false},"template":"","class_list":["post-122358","comparative_guide","type-comparative_guide","status-publish","hentry","guides-investing-in","jurisdictions-cameroon"],"acf":[],"appp":{"post_list":{"below_title":"<div class=\"guide-author-details\"><span class=\"guide-author\">Amadagana &amp; Partners<\/span><span class=\"guide-author-logo\"><img src=\"https:\/\/my.legal500.com\/guides\/wp-content\/uploads\/sites\/1\/2025\/12\/ap.jpg\"\/><\/span><\/div>"},"post_detail":{"above_title":"<div class=\"guide-author-details\"><span class=\"guide-author\">Amadagana &amp; Partners<\/span><span class=\"guide-author-logo\"><img src=\"https:\/\/my.legal500.com\/guides\/wp-content\/uploads\/sites\/1\/2025\/12\/ap.jpg\"\/><\/span><\/div>","below_title":"<span class=\"guide-intro\">This country specific Q&amp;A provides an overview of Investing In laws and regulations applicable in Cameroon<\/span><div class=\"guide-content\"><div class=\"filter\">\r\n\r\n\t\t\t\t<input type=\"text\" placeholder=\"Search questions and answers...\" class=\"filter-container__search-field\">\r\n\t\t\t<\/div>\r\n\r\n\t\t\t\r\n\r\n\r\n\t\t\t<ol class=\"custom-counter\">\r\n\r\n\t\t\t\r\n\r\n\t\t\t\t\t\t\t\t\t<li class=\"question-block filter-container__element\">\r\n\t\t\t\t\t\t<h3 class=\"filter-container__match-html\">Please briefly describe the current investment climate in the country and the average volume of foreign direct investments (by value in US dollars and by deal number) over the last three years.<\/h3>\r\n\t\t\t\t\t\t<button id=\"show-me\">+<\/button>\r\n\t\t\t\t\t\t<div class=\"question_answer filter-container__match-html\" style=\"display:none;\"><p>Current Investment Climate in Cameroon: Cameroon remains one of Central Africa\u2019s more dynamic economies, anchored by abundant natural resources, bilingualism, port access, and diversified growth opportunities in infrastructure, agriculture, mining, energy, and communications. However, persistent governance challenges, administrative bottlenecks, security concerns (notably in anglophone zones and the north), and under development infrastructure.<\/p>\n<\/div>\r\n\r\n\r\n\t\t\t\t\t<\/li>\r\n\r\n\t\t\t\t\t\t\t\t\t<li class=\"question-block filter-container__element\">\r\n\t\t\t\t\t\t<h3 class=\"filter-container__match-html\">What are the typical forms of Foreign Direct Investments (FDI) in the country: a) greenfield or brownfield projects to build new facilities by foreign companies, b) acquisition of businesses (in asset or stock transactions), c) acquisition of minority interests in existing companies, d) joint ventures, e) other?<\/h3>\r\n\t\t\t\t\t\t<button id=\"show-me\">+<\/button>\r\n\t\t\t\t\t\t<div class=\"question_answer filter-container__match-html\" style=\"display:none;\"><p>Foreign Direct Investments Forms are generally made through Public\u2013Private Partnerships (PPP) which are sometimes in the form of greenfield or brownfield projects to build new facilities in partnership with foreign companies, when the state is concerned. Also acquisition of businesses (in asset or stock transactions) is reference form when it concerns private projects.<\/p>\n<p>Concerning M&amp;A and joint venture, despite they are not the most common, it should be noted that in Cameroon, while M &amp; A and minority acquisitions are more specific to private investment in various sectors (finance, telecoms, mining), joint ventures are often standard in strategic sectors where state participation is mandatory (mining sector).<\/p>\n<\/div>\r\n\r\n\r\n\t\t\t\t\t<\/li>\r\n\r\n\t\t\t\t\t\t\t\t\t<li class=\"question-block filter-container__element\">\r\n\t\t\t\t\t\t<h3 class=\"filter-container__match-html\">Are foreign investors allowed to own 100% of a domestic company or business? If not, what is the maximum percentage that a foreign investor can own?<\/h3>\r\n\t\t\t\t\t\t<button id=\"show-me\">+<\/button>\r\n\t\t\t\t\t\t<div class=\"question_answer filter-container__match-html\" style=\"display:none;\"><p>Foreign investors are allowed to own 100% of a domestic company or business in Cameroon except in certain sectors. For example, in mining sector According to Article 47 of the current Mining Code, the State is a legal shareholder with a 10% stake in the capital. (This shareholding may be increased by 25% by mutual agreement in the context of industrial mining operations. )<\/p>\n<p>It should be noted that, in cases where foreign investors own at least 51% of the shares of the national company no matter the sector concerned, they must obtain approval from the Ministry of Trade in accordance with the provisions of Articles 5 and 6 of the law governing commercial activity in Cameroon.<\/p>\n<\/div>\r\n\r\n\r\n\t\t\t\t\t<\/li>\r\n\r\n\t\t\t\t\t\t\t\t\t<li class=\"question-block filter-container__element\">\r\n\t\t\t\t\t\t<h3 class=\"filter-container__match-html\">Are foreign investors allowed to invest and hold the same class of stock or other equity securities as domestic shareholders? Is it true for both public and private companies?<\/h3>\r\n\t\t\t\t\t\t<button id=\"show-me\">+<\/button>\r\n\t\t\t\t\t\t<div class=\"question_answer filter-container__match-html\" style=\"display:none;\"><p>Generally, foreign investors are allowed to invest and hold the same class of stock or other equity securities as domestic shareholders. This applies to both public and private companies, under the revised OHADA Uniform Act on Commercial Companies and Economic Interest Groups (dated 30 January 2014), which governs company law in Cameroon and the regulations of the Central African Financial Market Supervisory Commission of Central Africa (COSUMAF).<\/p>\n<p>Some restrictions may apply on, Land-related companies: since foreigners cannot directly own land (Ordinance No. 74-1 of 1974), they often hold shares in a local company that owns the land. And on Strategic sectors (defense, hydrocarbons, mining, telecoms) may require government consent or state participation, but share classes themselves are not restricted by nationality. It is the same, in cases where the articles of association of the companies or any shareholder agreement avoids it.<\/p>\n<\/div>\r\n\r\n\r\n\t\t\t\t\t<\/li>\r\n\r\n\t\t\t\t\t\t\t\t\t<li class=\"question-block filter-container__element\">\r\n\t\t\t\t\t\t<h3 class=\"filter-container__match-html\">Are domestic businesses organized and managed through domestic companies or primarily offshore companies?<\/h3>\r\n\t\t\t\t\t\t<button id=\"show-me\">+<\/button>\r\n\t\t\t\t\t\t<div class=\"question_answer filter-container__match-html\" style=\"display:none;\"><p>In accordance with the provisions of the OHADA Uniform Act, foreign companies wishing to invest in one of the member territories must be established either on a temporary basis, i.e. as a branch or representative office, or on a permanent basis (PLC, LLC, SAS, SNC SCS). Temporary companies may be organized and managed through primary offshore companies.<\/p>\n<p>About permanent companies, only public limited companies and simplified joint stock companies may be managed by companies: others must be managed by individuals. We therefore conclude that in this case, permanent companies may be established and managed by offshore companies.<\/p>\n<p>In practice, companies are generally established and managed by local corporations. The presence of offshore companies is generally notable in the heavy industry sector.<\/p>\n<\/div>\r\n\r\n\r\n\t\t\t\t\t<\/li>\r\n\r\n\t\t\t\t\t\t\t\t\t<li class=\"question-block filter-container__element\">\r\n\t\t\t\t\t\t<h3 class=\"filter-container__match-html\">What are the forms of domestic companies? Briefly describe the differences.   Which form is preferred by domestic shareholders? Which form is preferred by foreign investors\/shareholders? What are the reasons for foreign shareholders preferring one form over the other?<\/h3>\r\n\t\t\t\t\t\t<button id=\"show-me\">+<\/button>\r\n\t\t\t\t\t\t<div class=\"question_answer filter-container__match-html\" style=\"display:none;\"><p><strong>The form of domestic companies are:<\/strong><\/p>\n<ul>\n<li>Limited liability companies;<\/li>\n<li>Public Limited companies;<\/li>\n<li>Simple joint stock companies;<\/li>\n<li>Partnership<\/li>\n<li>limited partnership;<\/li>\n<li>Cooperative companies<\/li>\n<\/ul>\n<p><strong>1.Limited Liability Companies<\/strong><\/p>\n<ul>\n<li>Shareholders minimum: one (01);<\/li>\n<li>Minimum capital: XAF 100,000 ;<\/li>\n<li>Governance: Managed by one or more manager(s)<\/li>\n<li>Transfer of shares: freely organized by the parties in the articles of association<\/li>\n<li>Liability: Limited to contributions.<\/li>\n<li>Preferred by: Domestic shareholders (SMEs, family businesses) due to its simplicity, flexibility, and low cost of incorporation.<\/li>\n<\/ul>\n<p><strong>2. Public Limited Companies<\/strong><\/p>\n<ul>\n<li>Shareholders minimum: one (01) ;<\/li>\n<li>Minimum capital: XAF 10 million;<\/li>\n<li>Governance: Board of Directors with a Chairman &amp; CEO, or alternatively a simplified management system with a General Director;<\/li>\n<li>Transfer of shares: Freely transferable (unless restricted by statutes).<\/li>\n<li>Liability: Limited to contributions.<\/li>\n<li>Preferred by: Foreign investors and large domestic enterprises.<\/li>\n<\/ul>\n<p><strong>3. Partnership<\/strong><\/p>\n<ul>\n<li>Shareholders minimum: Two (02)<\/li>\n<li>Minimum capital: None<\/li>\n<li>Governance: manager;<\/li>\n<li>Transfer of shares: must be approved by the partners unanimously;<\/li>\n<li>Liability: All partners are jointly and liable.<\/li>\n<li>Rarely used, except for very small family businesses.<\/li>\n<\/ul>\n<p><strong>4. Limited Partnership<\/strong><\/p>\n<ul>\n<li>Shareholders minimum: Two (02) from different categories of partners- general partners\/unlimited liability and limited partners\/ liability limited to contributions;<\/li>\n<li>Minimum capital: None<\/li>\n<li>Governance: All the limited partners except the articles of association state contrary;<\/li>\n<li>Transfer of shares: must be approved by the partners unanimously;<\/li>\n<li>Liability: All partners are jointly and liable.<\/li>\n<li>Rarely used in practice.<\/li>\n<\/ul>\n<p><strong>5. Cooperative companies<\/strong><\/p>\n<ul>\n<li>Shareholders minimum: Five (05) for the simplified form and fifteen (15) for the one board of directors<\/li>\n<li>Minimum capital: None. But locally, the authorities require that the shares of each cooperative member do not exceed 20%;<\/li>\n<li>Governance: management committee<\/li>\n<li>Transfer of shares: transferable under the conditions set out in the articles of association<\/li>\n<li>Liability: Limited to contributions except the article of association provide otherwise.<\/li>\n<li>Increasingly used, especially in the agricultural sector.<\/li>\n<\/ul>\n<h4>Which form is preferred by domestic shareholders?<\/h4>\n<p>Domestic shareholders favor LLC for common businesses and cooperative companies for agriculture because it is simple, low-cost, and provides limited liability.<\/p>\n<h4>Which form is preferred by foreign investors\/shareholders?<\/h4>\n<h4>What are the reasons for foreign shareholders preferring one form over the other?<\/h4>\n<p>Foreign investors\/shareholders, favor PLC and Simple join stock companies for different reasons. They generally choose PLC because it facilitates large capital injections (minimum XAF 10m) and are renowned for reliability associated to its stronger corporate governance structures (board, auditors), which are more aligned with international compliance and financing standards. They also favor Simple join Stock companies for its reliability and the extensive freedom afforded to shareholders about its organization and structure.<\/p>\n<\/div>\r\n\r\n\r\n\t\t\t\t\t<\/li>\r\n\r\n\t\t\t\t\t\t\t\t\t<li class=\"question-block filter-container__element\">\r\n\t\t\t\t\t\t<h3 class=\"filter-container__match-html\">What are the requirements for forming a company? Which governmental entities have to give approvals? What is the process for forming\/incorporating a domestic company? What is a required capitalization for forming\/incorporating a company? How long does it take to form a domestic company? How many shareholders is the company required to have? Is the list of shareholders publicly available?<\/h3>\r\n\t\t\t\t\t\t<button id=\"show-me\">+<\/button>\r\n\t\t\t\t\t\t<div class=\"question_answer filter-container__match-html\" style=\"display:none;\"><p>Company incorporation is governed by the revised OHADA Uniform Act on Commercial Companies and Economic Interest Groups (AUSCGIE, January 30, 2014), and national legislation.<\/p>\n<p><strong>Approvals &amp; Governmental Entities<\/strong><\/p>\n<ul>\n<li>Ministry of Trade for foreigners holding at least 51% of the share capital;<\/li>\n<li>Centre for Business Start-up Formalities (CFCE) when legally provided;<\/li>\n<li>Authentication of statutes and Constituant general meeting report by the Public Notary when mandatory;<\/li>\n<li>Registration in the Trade and Personal Property Credit Register (TPPCR) under the jurisdiction of local court or in the register of cooperative societies;<\/li>\n<li>Registration at the Tax Administration;<\/li>\n<li>Registration at the National Social Insurance Fund (NSIF);<\/li>\n<li>Ministry of Small and Medium Enterprises, Social Economy and Handicrafts (MINPMEESA).<\/li>\n<li>National Institute of Statistics for company coding.<\/li>\n<li>In regulated sectors (energy, mining, banking, telecoms, , hydrocarbons etc), sectoral ministry approvals are also required.<\/li>\n<\/ul>\n<p><strong>Process for Incorporation<\/strong><\/p>\n<ul>\n<li>Drafting of all corporate documentation and authentication by a public notary when required by law (Articles of Association, minutes of constitutive general meeting, etc).<\/li>\n<li>Deposit share capital in a bank account or to a public notary to obtain a certificate of deposit.<\/li>\n<li>Filing the incorporation documents personally or with the help of the public notary to obtain registration at TPPCR.<\/li>\n<li>Filing the process to obtain registration at the tax administration, NSIF, Statistic Office, MINPMEESA and eventually at e-GUCE), Obtain Certificate of Incorporation (Extrait RCCM), which legalizes the company\u2019s existence.<\/li>\n<\/ul>\n<p><strong>Capitalization Requirements<\/strong><\/p>\n<ul>\n<li>LLC: Minimum XAF 100,000, \u2248 USD 160, though often higher in practice.<\/li>\n<li>PLC: Minimum XAF 10 million (\u2248 USD 16,000).<\/li>\n<li>Partnership \/Limited partnership \/ Cooperative companies: No minimum;<\/li>\n<\/ul>\n<p><strong>Timeline<\/strong><\/p>\n<ul>\n<li>Following administration statement, incorporation typically takes three (03) business days, provided documents are complete12. In practice, delays may occur (1\u20132 weeks) due to bureaucracy or sector approvals.<\/li>\n<\/ul>\n<p><strong>Shareholder Requirements<\/strong><\/p>\n<ul>\n<li>LLC\/PLC\/SJSC: Minimum one (01) .<\/li>\n<li>SNC \/ SCS: Minimum 2 partners.<\/li>\n<li>Cooperative companies: Minimum Five (05) for the simple one and 15 (fifteen) for those with board of directors.<\/li>\n<\/ul>\n<p><strong>Public Access to Shareholders List: Is the list of shareholders publicly available?<\/strong><\/p>\n<ul>\n<li>The list of shareholders is filed with the TPPCR and forms part of the publicly accessible incorporation file, mostly in case one has a copy of a previous extract from the TPPCR.<\/li>\n<\/ul>\n<\/div>\r\n\r\n\r\n\t\t\t\t\t<\/li>\r\n\r\n\t\t\t\t\t\t\t\t\t<li class=\"question-block filter-container__element\">\r\n\t\t\t\t\t\t<h3 class=\"filter-container__match-html\">What are the requirements and necessary governmental approvals for a foreign investor acquiring shares in a private company? What about for an acquisition of assets?<\/h3>\r\n\t\t\t\t\t\t<button id=\"show-me\">+<\/button>\r\n\t\t\t\t\t\t<div class=\"question_answer filter-container__match-html\" style=\"display:none;\"><p>Concerning the acquisition of shares in a private company, any foreign investor wishing to acquire shares must follow these requirements:<\/p>\n<ul>\n<li>the requirements listed in the articles of association of the target,<\/li>\n<\/ul>\n<p>those listed by the OHADA Uniform Act on Commercial Companies about the obligation for a notarized share purchase agreement, the shareholders agreement, the notification to the TPPCR, etc;<\/p>\n<p>concerning the payment, the obligation to register the share purchase agreement at the tax administration, whether it is signed locally or not and the obligation to declare the fund transfer to he Bank of Central African States (BEAC) and Ministry of finance in duly deadline.<\/p>\n<p>concerning the competition rules, a notification to the Competition Council of Cameroon in case the convention could affect market competition;<\/p>\n<p>In case the target is operating in a specific sector as mining, banking, telecommunications, the obligation to obtain approval and\/or to notify the competent administration.<\/p>\n<p>Concerning the Acquisition of Assets the rules are mostly the same but when it concerns land and real estates, the agreement mut be notarized and, since foreigners cannot directly own land, they may sign long-term leases (99 years), or hold land indirectly through a Cameroonian-incorporated company and register their right at the competent Land Registry. It should be recalled that mining, hydrocarbons, forestry, and telecom assets require governmental concessions\/licenses cannot be freely transferred without ministerial approval.<\/p>\n<\/div>\r\n\r\n\r\n\t\t\t\t\t<\/li>\r\n\r\n\t\t\t\t\t\t\t\t\t<li class=\"question-block filter-container__element\">\r\n\t\t\t\t\t\t<h3 class=\"filter-container__match-html\">Does a foreign investor need approval to acquire shares in a public company on a domestic stock market? What about acquiring shares of a public company in a direct (private) transaction from another shareholder?<\/h3>\r\n\t\t\t\t\t\t<button id=\"show-me\">+<\/button>\r\n\t\t\t\t\t\t<div class=\"question_answer filter-container__match-html\" style=\"display:none;\"><p>COSUMAF General Rules provide no approval requirement for a foreign investor to acquire shares through the stock market. The only bidding rules are those related to foreign exchange regulations requiring declarations to BEAC and Ministry of Finance.<\/p>\n<p>About acquiring shares of a public company directly, unless Article of association of the target imposes restrictions or a right of first refusal, the shares are freely transferable. Governmental or institutional sectorial approval may be required only for regulated industries as banking (COBAC) insurance (MINFI), telecommunications (MINPOSTEL), etc.<\/p>\n<\/div>\r\n\r\n\r\n\t\t\t\t\t<\/li>\r\n\r\n\t\t\t\t\t\t\t\t\t<li class=\"question-block filter-container__element\">\r\n\t\t\t\t\t\t<h3 class=\"filter-container__match-html\">Is there a requirement for a mandatory tender offer if an investor acquired a certain percentage of shares of a public company?<\/h3>\r\n\t\t\t\t\t\t<button id=\"show-me\">+<\/button>\r\n\t\t\t\t\t\t<div class=\"question_answer filter-container__match-html\" style=\"display:none;\"><p>Following the Central African Market Supervisory Commission (COSUMAF) regulation when investor targeted shares exceeds one-third (1\/3) of the share capital of a company whose securities are admitted to trading the investor must inform COSUMAF and submit a draft public offer for the entire share capital.<\/p>\n<\/div>\r\n\r\n\r\n\t\t\t\t\t<\/li>\r\n\r\n\t\t\t\t\t\t\t\t\t<li class=\"question-block filter-container__element\">\r\n\t\t\t\t\t\t<h3 class=\"filter-container__match-html\">What is the approval process for building a new facility in the country (in a greenfield or brownfield project)?<\/h3>\r\n\t\t\t\t\t\t<button id=\"show-me\">+<\/button>\r\n\t\t\t\t\t\t<div class=\"question_answer filter-container__match-html\" style=\"display:none;\"><p>The approval process for the construction of a new facility in the country varies depending on whether it is part of a PPP or a public procurement:<\/p>\n<p>In the case of a Public and Private Partnership (PPP), the contracting authority is the Prime Minister, and the selection of the co-contractor involves the following steps:<\/p>\n<ul>\n<li>A public call for expressions of interest;<\/li>\n<li>Restricted tender;<\/li>\n<li>Competitive dialogue;<\/li>\n<li>Award of contract;<\/li>\n<li>Negotiation of contract terms and<\/li>\n<li>signing of contract;<\/li>\n<\/ul>\n<p>With regard to public procurement, the stages of the process are broadly as follows:<\/p>\n<ul>\n<li>Call for tenders (drafting and publication of the notice)<\/li>\n<li>Submission of tenders<\/li>\n<li>Opening of tenders and examination of their admissibility<\/li>\n<li>Evaluation of tenders<\/li>\n<li>Award of the public contract<\/li>\n<li>Signing and notification of the contract.<\/li>\n<\/ul>\n<\/div>\r\n\r\n\r\n\t\t\t\t\t<\/li>\r\n\r\n\t\t\t\t\t\t\t\t\t<li class=\"question-block filter-container__element\">\r\n\t\t\t\t\t\t<h3 class=\"filter-container__match-html\">Can an investor do a transaction in the country in any currency or only in domestic currency? a) Is there an approval requirement (e.g. through Central Bank or another governmental agency) to use foreign currency in the country to pay: i. in an acquisition, or, ii. to pay to contractors, or, iii. to pay salaries of employees? b) Is there a limit on the amount of foreign currency in any transaction or series of related transactions? i. Is there an approval requirement and a limit on how much foreign currency a foreign investor can transfer into the country? ii. Is there an approval requirement and a limit on how much domestic currency a foreign investor can buy in the country? iii. Can an investor buy domestic currency outside of the country and transfer it into the country to pay for an acquisition or to third parties for goods or services or to pay salaries of employees?<\/h3>\r\n\t\t\t\t\t\t<button id=\"show-me\">+<\/button>\r\n\t\t\t\t\t\t<div class=\"question_answer filter-container__match-html\" style=\"display:none;\"><p>An investor can do a transaction in the country in any currency, but foreign currency is only to manage needs related to foreign obligations (outside the CEMAC zone).22 According to the CEMAC foreign exchange regulations, foreigners are permitted to open foreign currency accounts, but withdrawals of foreign currency to cover local needs are prohibited.<\/p>\n<p><strong>Is there an approval requirement (e.g. through Central Bank or another governmental agency) to use foreign currency in the country to pay: in an acquisition, or to pay to contractors, or to pay salaries of employees?<\/strong><\/p>\n<p>Payment of local needs with foreign currency is prohibited. Concerning foreign contractors, if the payment is done by international transfer, this transaction is free of any obligation.<\/p>\n<p><strong>Is there a limit on the amount of foreign currency in any transaction or series of related transactions?<\/strong><\/p>\n<p>Pursuant to the provisions of Article 47 of the CEMAC regulations, debit and credit transactions on non-resident accounts in foreign currencies are unrestricted, subject to the regulations in force.<\/p>\n<p><strong>Is there an approval requirement and a limit on how much foreign currency a foreign investor can transfer into the country?<\/strong><\/p>\n<p>There is no limit on how much foreign currency a foreign investor can transfer into the country . However, there is an obligation to declare the transaction to BEAC and Minsitry of Finance (MINFI), thirty (30) days before it is carried out, which is sanctioned by a formal acknowledgment from the regulatory authority.This acknowledgement is considered to be an approval of the said transactions, as it is up to the authority to oppose transactions that do not comply with the requirements of the regulations in force (tax regulation).<\/p>\n<p>Moreover, all transfers, payments, and settlements of current transactions to foreign countries may be carried out, subject to proof of the origin of the funds and the presentation of the documents required by foreign exchange regulations.<\/p>\n<p><strong>Is there an approval requirement and a limit on how much domestic currency a foreign investor can buy in the country?<\/strong><\/p>\n<p>Transactions debiting and crediting non-resident accounts in CFA francs are unrestricted, subject to the presentation of the documents required by the regulations in force.<\/p>\n<p><strong>Can an investor buy domestic currency outside of the country and transfer it into the country to pay for an acquisition or to third parties for goods or services or to pay salaries of employees?<\/strong><\/p>\n<p>Since July 18, 2025, an Investor can open an account of domestic currency in or outside of the country and do all the desired operations (acquisition of goods and services, salaries payments, etc), except the laws of the foreign country prohibit it.<\/p>\n<\/div>\r\n\r\n\r\n\t\t\t\t\t<\/li>\r\n\r\n\t\t\t\t\t\t\t\t\t<li class=\"question-block filter-container__element\">\r\n\t\t\t\t\t\t<h3 class=\"filter-container__match-html\">Are there approval requirements for a foreign investor for transferring domestic currency or foreign currency out of the country? Whose approval is required? How long does it take to get the approval? Are there limitations on the amount of foreign or domestic currency that can be transferred out of the country? Is the approval required for each transfer or can it be granted for all future transfers?<\/h3>\r\n\t\t\t\t\t\t<button id=\"show-me\">+<\/button>\r\n\t\t\t\t\t\t<div class=\"question_answer filter-container__match-html\" style=\"display:none;\"><p>Foreign direct investments are subject to prior authorization from the Bank of Central African States. However, current transactions (salaries, fees, rent, and others capital funds and even portfolio investments of less than 20 millions CFA francs per economic agent per year) are free: it is the responsibility of the foreigner to provide all required documentation to the financial institution if the amount exceeds 1,000,000 CFA francs. This institution will be responsible for the declaration to the BEAC.<\/p>\n<p><strong>Whose approval is required?<\/strong><\/p>\n<p>When required, approval must be granted by the Central Bank (BEAC).<\/p>\n<p><strong>How long does it take to get the approval?<\/strong><\/p>\n<p>The processing time is 60 business days from the receipt of the complete application file for outbound direct investment authorization, and 30 business days for authorization requests related to outbound direct investments in the form of real estate acquisitions for residential purposes by individuals.<\/p>\n<p><strong>Are there limitations on the amount of foreign or domestic currency that can be transferred out of the country?<\/strong><\/p>\n<p>We did not found any legal limitation of the amount of foreign or domestic currency that can be transferred out of the country. The studied laws only specify the floor amounts leading to the declaration obligation (sale of CEMAC securities in an amount exceeding 100 million CFA francs, etc)<\/p>\n<p><strong>Is the approval required for each transfer or can it be granted for all future transfers?<\/strong><\/p>\n<p>Approval is required for each transfer.<\/p>\n<\/div>\r\n\r\n\r\n\t\t\t\t\t<\/li>\r\n\r\n\t\t\t\t\t\t\t\t\t<li class=\"question-block filter-container__element\">\r\n\t\t\t\t\t\t<h3 class=\"filter-container__match-html\">Is there a tax or duty on foreign currency conversion?<\/h3>\r\n\t\t\t\t\t\t<button id=\"show-me\">+<\/button>\r\n\t\t\t\t\t\t<div class=\"question_answer filter-container__match-html\" style=\"display:none;\"><p>General tax code does not provide a tax on foreign currency conversion. Nevertheless, a commission known as a manual exchange commission that is determined by free competition and may be charged by authorized intermediaries on foreign currency exchanges.<\/p>\n<\/div>\r\n\r\n\r\n\t\t\t\t\t<\/li>\r\n\r\n\t\t\t\t\t\t\t\t\t<li class=\"question-block filter-container__element\">\r\n\t\t\t\t\t\t<h3 class=\"filter-container__match-html\">Is there a tax or duty on bringing foreign or domestic currency into the country?<\/h3>\r\n\t\t\t\t\t\t<button id=\"show-me\">+<\/button>\r\n\t\t\t\t\t\t<div class=\"question_answer filter-container__match-html\" style=\"display:none;\"><p>Paragraph 2 of Article 11 of the foreign exchange regulations fixes a stamp duty of 0.01% of the face value of foreign currency imports carried out by authorized intermediaries. Also, the General Tax code provides a tax on money transfer transactions at the rate of 0.2% of the amount transferred or withdrawn. Are excluded from this tax:<\/p>\n<ul>\n<li>Bank transfers,<\/li>\n<li>Transfers for the payment of taxes, duties, and fees,<\/li>\n<li>Cash deposits made to an electronic wallet,<\/li>\n<li>Withdrawals not resulting from money transfers made to financial institutions or telephone companies.<\/li>\n<\/ul>\n<\/div>\r\n\r\n\r\n\t\t\t\t\t<\/li>\r\n\r\n\t\t\t\t\t\t\t\t\t<li class=\"question-block filter-container__element\">\r\n\t\t\t\t\t\t<h3 class=\"filter-container__match-html\">Is there a difference in tax treatment between acquisition of assets or shares (e.g. a stamp duty)?<\/h3>\r\n\t\t\t\t\t\t<button id=\"show-me\">+<\/button>\r\n\t\t\t\t\t\t<div class=\"question_answer filter-container__match-html\" style=\"display:none;\"><p>The acquisition of shares as movable is subject principally to tax on income from movable capital, while the acquisition of assets varies depending on whether the asset is movable or immovable.<\/p>\n<\/div>\r\n\r\n\r\n\t\t\t\t\t<\/li>\r\n\r\n\t\t\t\t\t\t\t\t\t<li class=\"question-block filter-container__element\">\r\n\t\t\t\t\t\t<h3 class=\"filter-container__match-html\">When is a stamp duty required to be paid?<\/h3>\r\n\t\t\t\t\t\t<button id=\"show-me\">+<\/button>\r\n\t\t\t\t\t\t<div class=\"question_answer filter-container__match-html\" style=\"display:none;\"><p>t is in this sense that Article 426 of the General Tax Code specifies that \u201cthe stamp duty is payable by the party benefiting from the document.\u201d : it is payable at the time of filing the BEAC authorization file, or declaration to the competent authorities.<\/p>\n<p>However, it should be noted that under Article 276 of the General Tax Code, the deadlines for registering documents are as follows from their date: &#8220;15 days to 1 month for notarial deeds, judicial documents, and administrative documents. From 1 to 3 months for private deeds recording synallagmatic agreements. Six months for authentic or private deeds executed outside a CEMAC State. From 3 to 6 months from the death of the testator for wills deposited or not deposited with a notary.&#8221;<\/p>\n<\/div>\r\n\r\n\r\n\t\t\t\t\t<\/li>\r\n\r\n\t\t\t\t\t\t\t\t\t<li class=\"question-block filter-container__element\">\r\n\t\t\t\t\t\t<h3 class=\"filter-container__match-html\">Are shares in private domestic companies easily transferable? Can the shares be held outside of the home jurisdiction? What approval does a foreign investor need to transfer shares to another foreign or domestic shareholder? Are changes in shareholding publicly reported or publicly available?<\/h3>\r\n\t\t\t\t\t\t<button id=\"show-me\">+<\/button>\r\n\t\t\t\t\t\t<div class=\"question_answer filter-container__match-html\" style=\"display:none;\"><p>Under the provisions of the OHADA Uniform Act, the transfer of shares in private national companies is relatively easy in that the major criterion is most often the agreement of the other partners or shareholders of the said company and the registration of the share and purchase agreement at the tax administration.<\/p>\n<p><strong>Can the shares be held outside of the home jurisdiction?<\/strong><\/p>\n<p>Foreigners can acquire shares, however, they are dematerialized and transferred into a securities account domiciled in the national territory.<\/p>\n<p><strong>What approval does a foreign investor need to transfer shares to another foreign or domestic shareholder?<\/strong><\/p>\n<p>Under OHADA Legislation, share transfer is free in principle. However, to transfer shares from one company to another, foreign investors require approval of the company concerned.\u00a0 Unless the articles of association or a shareholders&#8217; agreement provide for an inalienability clause or additional approvals.<\/p>\n<p><strong>Are changes in shareholding publicly reported or publicly available?<\/strong><\/p>\n<p>Changes in shareholding are publicly reported in the competent Trade and Personal Property Credit Register and in a newspaper authorized to receive legal announcements.<\/p>\n<\/div>\r\n\r\n\r\n\t\t\t\t\t<\/li>\r\n\r\n\t\t\t\t\t\t\t\t\t<li class=\"question-block filter-container__element\">\r\n\t\t\t\t\t\t<h3 class=\"filter-container__match-html\">Is there a mandatory FDI filing? With which agency is it required to be made? How long does it take to obtain an FDI approval? Under what circumstances is the mandatory FDI filing required to be made? If a mandatory filing is not required, can a transaction be reviewed by a governmental authority and be blocked? If a transaction is outside of the home jurisdiction (e.g. a global transaction where shares of a foreign incorporated parent company are being bought by another foreign company, but the parent company that\u2019s been acquired has a subsidiary in your jurisdiction), could such a transaction trigger a mandatory FDI filing in your jurisdiction? Can a governmental authority in such a transaction prohibit the indirect transfer of control of the subsidiary?<\/h3>\r\n\t\t\t\t\t\t<button id=\"show-me\">+<\/button>\r\n\t\t\t\t\t\t<div class=\"question_answer filter-container__match-html\" style=\"display:none;\"><p>In accordance with the combined provisions of Articles 4 and 8 of the instruction specifying the conditions and procedures for carrying out transactions relating to direct and portfolio investments with foreign countries, foreign investors in the CEMAC are required to declare such transactions to the central bank and the Ministry of Finance at least 30 days prior to their execution.<\/p>\n<p><strong>With which agency is it required to be made?<\/strong><\/p>\n<p>Declarations relating to all types of direct investor transactions are made to BEAC and the Ministry of Finance.<\/p>\n<p><strong>How long does it take to obtain an FDI approval?<\/strong><\/p>\n<p>In the case of inward FDI, since it is only a declaration, there is no approval required by law. Nevertheless, the Central Bank generally notify a letter of acknowledgement to the declaring.<\/p>\n<p>In the case of outward direct investment, the central bank has 60 working days from receipt of the complete application for authorization of the outward direct investment to decide. This period is 30 days for applications for authorization of outward direct investment in the form of real estate acquisition for residential purposes by natural persons..<\/p>\n<p><strong>Under what circumstances is the mandatory FDI filing required to be made?<\/strong><\/p>\n<p>Every FDI must be declared to the competent authorities.<\/p>\n<p><strong>If a mandatory filing is not required, can a transaction be reviewed by a governmental authority and be blocked?<\/strong><\/p>\n<p>Every FDI must be declared to the competent authorities. Minister of Finance can also review and block any FDI violating the legislation in force.<\/p>\n<p><strong>If a transaction is outside of the home jurisdiction (e.g. a global transaction where shares of a foreign incorporated parent company are being bought by another foreign company, but the parent company that\u2019s been acquired has a subsidiary in your jurisdiction, could such a transaction trigger a mandatory FDI filing in your jurisdiction?<\/strong><\/p>\n<p>In principle, foreign investors are free to hold and carry out transactions on their accounts located outside a CEMAC member state. But, if a transaction carried out outside the home jurisdiction has a financial impact on the local subsidiary (capital increase, change in shareholding, transfer of capital, etc.), it must be declared in our jurisdiction. Moreover in some specific sectors as mining, telecommunications ,etc.<\/p>\n<\/div>\r\n\r\n\r\n\t\t\t\t\t<\/li>\r\n\r\n\t\t\t\t\t\t\t\t\t<li class=\"question-block filter-container__element\">\r\n\t\t\t\t\t\t<h3 class=\"filter-container__match-html\">Do private companies prefer to pursue an IPO? i. on a domestic stock market, or ii. on a foreign stock market? iii. If foreign, which one?<\/h3>\r\n\t\t\t\t\t\t<button id=\"show-me\">+<\/button>\r\n\t\t\t\t\t\t<div class=\"question_answer filter-container__match-html\" style=\"display:none;\"><p>According to the COSUMAF website, only four (04) companies are currently listed on the Central African Stock Exchange (BVMAC), SEMC, SAFACAM, SOCAPALM, SIAT GABON and we scarcely find one on a foreign stock market We conclude that Private companies prefer to pursue an IPO on domestic stock market.<\/p>\n<\/div>\r\n\r\n\r\n\t\t\t\t\t<\/li>\r\n\r\n\t\t\t\t\t\t\t\t\t<li class=\"question-block filter-container__element\">\r\n\t\t\t\t\t\t<h3 class=\"filter-container__match-html\">Do M&amp;A\/Investment\/JV agreements typically provide for dispute resolution in domestic courts or through international arbitration?<\/h3>\r\n\t\t\t\t\t\t<button id=\"show-me\">+<\/button>\r\n\t\t\t\t\t\t<div class=\"question_answer filter-container__match-html\" style=\"display:none;\"><p>In the context of financing, companies prefer international arbitration, while in the context of M&amp;A, JV agreements, they generally rely on OHADA legislation and the competent local courts to ensure its application.<\/p>\n<\/div>\r\n\r\n\r\n\t\t\t\t\t<\/li>\r\n\r\n\t\t\t\t\t\t\t\t\t<li class=\"question-block filter-container__element\">\r\n\t\t\t\t\t\t<h3 class=\"filter-container__match-html\">How long does a typical contract dispute case take in domestic courts for a final resolution?<\/h3>\r\n\t\t\t\t\t\t<button id=\"show-me\">+<\/button>\r\n\t\t\t\t\t\t<div class=\"question_answer filter-container__match-html\" style=\"display:none;\"><p>Two (2) categories of courts settle contract disputes in Cameroon: arbitration courts and state courts.<\/p>\n<p>Before arbitration courts, the duration of proceedings is either in accordance with the arbitration agreement signed by the parties or in accordance with the chosen rules. Typically, it is about five (05) months to reach a final resolution.<\/p>\n<p>Before state courts, the duration depends on the form of the proceeding. For urgent commercial proceedings, cases can last 3 to 5 years. But for common procedures, the process can last up to 10 years or more, even when the law provides for time limits, such as simplified debt recovery procedures.<\/p>\n<\/div>\r\n\r\n\r\n\t\t\t\t\t<\/li>\r\n\r\n\t\t\t\t\t\t\t\t\t<li class=\"question-block filter-container__element\">\r\n\t\t\t\t\t\t<h3 class=\"filter-container__match-html\">Are domestic courts reliable in enforcing foreign investors rights under agreements and under the law?<\/h3>\r\n\t\t\t\t\t\t<button id=\"show-me\">+<\/button>\r\n\t\t\t\t\t\t<div class=\"question_answer filter-container__match-html\" style=\"display:none;\"><p>Arbitration courts as well as state courts are reliable in enforcing foreign investors\u2019 rights. Indeed, concerning arbitration courts, they are freely constituted by the parties. Concerning state courts, the law appliable to commercial matters is a community one, OHADA Uniform Acts. All courts of first instance, high courts, courts of appeal at national level and the Common Court of Justice and Arbitration at communitarian level are bound to follow it.<\/p>\n<\/div>\r\n\r\n\r\n\t\t\t\t\t<\/li>\r\n\r\n\t\t\t\t\t\t\t\t\t<li class=\"question-block filter-container__element\">\r\n\t\t\t\t\t\t<h3 class=\"filter-container__match-html\">Are there instances of abuse of foreign investors? How are cases of investor abuse handled?<\/h3>\r\n\t\t\t\t\t\t<button id=\"show-me\">+<\/button>\r\n\t\t\t\t\t\t<div class=\"question_answer filter-container__match-html\" style=\"display:none;\"><p>Unlike legal proceedings observed outside the country, proceedings are generally marred by judicial delays. However, some laws , such as the OHADA Uniform Act on Simplified Recovery Procedures and Enforcement Measures, which was adopted on October 17, 2023, in Kinshasa, attempt to resolve this issue by setting deadlines for judges at each stage of the proceedings.<\/p>\n<\/div>\r\n\r\n\r\n\t\t\t\t\t<\/li>\r\n\r\n\t\t\t\t\t\t\t\t\t<li class=\"question-block filter-container__element\">\r\n\t\t\t\t\t\t<h3 class=\"filter-container__match-html\">Are international arbitral awards recognized and enforced in your country?<\/h3>\r\n\t\t\t\t\t\t<button id=\"show-me\">+<\/button>\r\n\t\t\t\t\t\t<div class=\"question_answer filter-container__match-html\" style=\"display:none;\"><p>International arbitral awards are recognized and enforced in our country. On February 19, 1988, Cameroon ratified the Convention on the Recognition and Enforcement of Foreign Arbitral Awards concluded in New York on June 10, 1958.<\/p>\n<\/div>\r\n\r\n\r\n\t\t\t\t\t<\/li>\r\n\r\n\t\t\t\t\t\t\t\t\t<li class=\"question-block filter-container__element\">\r\n\t\t\t\t\t\t<h3 class=\"filter-container__match-html\">Are there foreign investment protection treaties in place between your country and major other countries?<\/h3>\r\n\t\t\t\t\t\t<button id=\"show-me\">+<\/button>\r\n\t\t\t\t\t\t<div class=\"question_answer filter-container__match-html\" style=\"display:none;\"><p>There are several foreign investment protection treaties in place between our country and major other countries among which:<\/p>\n<ul>\n<li>The Agreement establishing the African Continental Free Trade Area (AfCFTA) ratified by Cameroon by Decree No. 2019\/586 of 31 October 2019;<\/li>\n<li>The Economic Partnership Agreement (EPA) between the European Union and Central Africa for trade and development, between the European Union and Cameroon, entered into force on August 4, 2014, and was ratified on July 28, 2014;<\/li>\n<li>Trade Economic and Technical Cooperation Agreement signed between Cameroon and the People&#8217;s Republic of China signed and ratified in 1972.<\/li>\n<\/ul>\n<\/div>\r\n\r\n\r\n\t\t\t\t\t<\/li>\r\n\r\n\t\t\t\t\r\n<div class=\"word-count-hidden\" style=\"display:none;\">Estimated word count: <span class=\"word-count\">4986<\/span><\/div>\r\n\r\n\t\t\t<\/ol>\r\n\r\n<script type=\"text\/javascript\" src=\"\/wp-content\/themes\/twentyseventeen\/src\/jquery\/components\/filter-guides.js\" async><\/script><\/div>"}},"_links":{"self":[{"href":"https:\/\/my.legal500.com\/guides\/wp-json\/wp\/v2\/comparative_guide\/122358","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/my.legal500.com\/guides\/wp-json\/wp\/v2\/comparative_guide"}],"about":[{"href":"https:\/\/my.legal500.com\/guides\/wp-json\/wp\/v2\/types\/comparative_guide"}],"wp:attachment":[{"href":"https:\/\/my.legal500.com\/guides\/wp-json\/wp\/v2\/media?parent=122358"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}