Cameroon spent CFA57 billion in September 2026 to keep fuel prices at the pump from rising, Finance Minister Louis Paul Motaze said this month on the sidelines of the IMF and World Bank meetings in Bangkok, according to Business in Cameroon. That is about CFA9 billion more than the government's recent monthly average of around CFA48 billion. The Cameroon fuel subsidy bill is climbing fast, and the minister did not rule out a price increase.
For businesses that move goods, run generators or depend on transport, the question is simple: how long can the state keep paying?
Current pump prices
In Douala, regulated prices are:
- Diesel: CFA828 per litre
- Gasoline (super): CFA840 per litre
These prices have not moved, even though world oil prices have risen sharply. The gap between what fuel costs to import and what motorists pay is what the subsidy covers.
Support per litre has nearly quadrupled since July
Figures from the Caisse de Stabilisation des Prix des Hydrocarbures (CSPH), the body that manages price equalisation, show how quickly the cost has grown. The subsidy paid on each litre of diesel was:
| Month (2026) | Diesel support per litre |
|---|---|
| July | CFA109.22 |
| September | CFA315.47 |
| October | CFA430.30 |
In October, the state is paying more than CFA430 on every litre of diesel sold. That is just over half the CFA828 pump price. Put another way, diesel would cost well over CFA1,200 per litre at the pump if the subsidy were removed today.
Why costs jumped
The main driver is the international oil price. Brent crude climbed to around $110 a barrel in mid-October, its highest level since May, after attacks on Saudi energy facilities and a strike on a Russian refinery pushed up risk premiums. Diesel prices rose even faster than crude. Cameroon imports most of the refined products it uses, so these increases feed straight into the subsidy bill.
The CFA franc's peg to the euro offers some stability against the dollar, but it does not shield the country from a rise in the dollar price of oil itself.
The budget arithmetic
The 2026 budget set aside CFA310 billion for energy subsidies. The 2027 draft raises that to CFA340 billion.
September's CFA57 billion alone used up about 18.4% of the full-year 2026 allocation. If October comes in even higher, which the per-litre figures suggest it will, the government faces a choice before the end of the year:
- Find extra money through a supplementary budget or cuts elsewhere
- Build up arrears to fuel marketers, which has happened before
- Raise pump prices to narrow the gap
Motaze's comments suggest the third option is on the table, even if no date has been set.
The IMF view
The IMF, in a statement on October 1, has pushed Cameroon to keep its finances on track. The country's budget deficit widened from 1.5% of GDP in 2024 to 2.1% in 2025. Fuel subsidies are one of the largest items the government can adjust quickly, and the Fund has long argued that broad price support helps richer households, who use more fuel, more than poorer ones.
Cameroon raised pump prices in 2023 and again in 2024 under similar pressure, so a further rise would not be without precedent.
What a price rise would mean for business
Fuel costs reach almost every part of the Cameroonian economy:
- Transport and logistics. Haulage between Douala, Yaoundé and the northern regions runs on diesel. Higher prices would feed into freight rates within weeks.
- Manufacturing and services. Many firms run diesel generators to cover power cuts. A rise in diesel prices raises their operating costs directly.
- Food prices. Moving produce from farms to markets costs more when fuel costs more, and that shows up in household budgets.
- Taxis and motorbike taxis. Fares are politically sensitive, and past price changes have led to strikes and protests.
What businesses can do now
No increase has been announced, but planning for one is sensible.
- Review contracts with fixed delivery prices and consider fuel adjustment clauses for 2027.
- Check how much of your monthly cost base depends on diesel, including generators.
- If you can, buy fuel in larger quantities while regulated prices hold, keeping safety and storage rules in mind.
- Look at solar or hybrid backup power, which looks better value each time diesel support costs rise.
The bottom line
At current rates, Cameroon is paying for fuel price stability with money it budgeted for the whole year. The October figure of CFA430 per litre of diesel shows the pressure is still rising. Unless oil prices fall quickly, the government will have to find more money, delay payments or let pump prices rise. Businesses should plan for the last of those.
Cameroon Business Review will track the monthly subsidy figures as they are released. See more in Economy & Macro.
