Cotton campaign 2019/2020: The IDB grants 64.3 billion CFAF to SODECOTON.

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L’accord de prêt Murabaha a été conclu le 7 avril 2020 par échange de signatures, entre le Ministre de l’Economie, de la Planification et de l’Aménagement du Territoire, Alamine Ousmane Mey et la Société Internationale de Financement du Commerce (ITFC).

This funding, amounting to 98 million euros, or 64.3 billion CFAF, is intended for the 2019-2020 cotton campaign of the Cotton Development Company (Sodecoton). It is a campaign credit made available to the State by the International Trade Finance Corporation, for the benefit of its member countries, including Cameroon.

This funding is part of the government's support system for strategic sectors. It aims to allow on the one hand the acquisition of agricultural inputs up to 20 million Euros, or about 13,119 billion FCFA, and the marketing of seed cotton and soybeans to farmers' cooperatives, up to 78 million euros, or more than 51 billion FCFA.

With this funding, Sodecoton intends to increase its annual production and surpass that of the previous campaign. The company had a record production of 320,000 tonnes of cotton during the 2018-2019 campaign. It had been more than a decade since this structure, which aims at increasing production to 400,000 tonnes in 2022, had achieved such a performance.

Under the terms of this agreement, reimbursement is provided by the Executing Agency, in this case Sodécoton, the beneficiary company.
Note that the International Trade Finance Corporation (ITFC) is a specialized body of the Islamic Development Bank Group (IDB) in trade finance.