World Bank Report Highlights Public Service Gaps in Cameroon’s Business Environment

The World Bank logo. The Bretton Woods institution recently released its Business Ready report assessing business climates worldwide.

By Rita Yuosembom 

The World Bank has released its latest Business Ready report, offering an assessment of the business and investment climate in 101 countries worldwide. Cameroon is among 27 African nations reviewed in the report, which evaluates how regulations and public services affect private sector activity.

According to the report, Cameroon recorded a score of 58.75 out of 100 on the regulatory framework pillar, reflecting progress in the formulation of business laws and investment-related policies. However, the country performed poorly on public services, scoring 36.30, a figure significantly below the global average.

The Business Ready report, which replaces the former Doing Business index, focuses not only on laws and regulations but also on how effectively public institutions implement them. In Cameroon’s case, the findings point to a persistent disconnect between policy design and real-world application.

The World Bank notes that although reforms have been introduced to improve the business climate, administrative inefficiencies continue to undermine their impact. Procedures for business registration, taxation, licensing and access to public services are often described by entrepreneurs as slow, inconsistent and costly.

Interviews with young investors in Bafoussam in the West Region and Bamenda in the North West Region highlight these challenges. Both entrepreneurs told the round review that after repeated attempts to formally register and legalise their businesses, they abandoned the process and opted to negotiate directly with tax officials in order to continue operating.

Economists say such practices reflect deeper governance weaknesses. The Business Ready report warns that ineffective public service delivery reduces investor confidence, penalises small and medium-sized enterprises and limits job creation. Poor implementation of regulations, the report adds, also slows industrial development and discourages long-term investment.

However, some local investors argue that progress is being made. Muluh Godson Ndali, a Cameroonian entrepreneur, says recent government initiatives have simplified certain administrative procedures, particularly through the use of online platforms for business registration.

Government authorities have acknowledged challenges within the public service and maintain that reforms are ongoing. Measures include the digitalisation of administrative services, the creation of one-stop shops for business registration, and efforts aimed at improving transparency and reducing corruption.

Analysts, however, caution that reforms will only yield results if they are accompanied by strong enforcement mechanisms and accountability at all levels of administration. Without this, they argue, the gap between policy and practice will persist.

The World Bank concludes that for Cameroon to significantly improve its business environment and attract greater investment, priority must be given to strengthening public service delivery. Ensuring that institutions operate efficiently, transparently and consistently, the report says, remains critical to sustainable economic growth.