Generating growth in Cameroon
Cameroon may not get as much attention as West African powerhouses of Nigeria and Côte d’Ivoire, but it is quietly forging along the path of economic development. It is one of the most politically stable in the region; its economy is forecast to grow at 5% per annum over the next few years; and inflation is low. Its energy sector, privatised in 2001, is also one of the most liberalised in Africa.
In 2014, Actis acquired a 56% stake in Cameroon’s national electricity integrated utility, Eneo. Eneo owns and operates over 900MW of generation capacity and distributes electricity to more than 900,000 customers.
Actis’ investment in Eneo builds upon the track record that we have built in the electricity distribution sub-sector, benefiting from our experience in Uganda and Guatemala. The firm’s focus is on improving safety and operational efficiency as well as expanding electrification rates in the sector, to support Cameroon’s future economic growth.
Actis recruited a new CEO and CFO, both Cameroonian citizens with successful international careers and appointed new board members to promote better corporate governance. With strong energy demand growth, the potential for follow-up investments is substantial, especially in additional power generation and network capacity.