BY NDUMBE BELL GASTON
Societe Generale Cameroon SGC, a close collaborator of the Financial Markets Commission (F.M.C) and which has been among the 13 financial providers of the stock exchange, is reported to be experiencing a surge in revenue downturn since the beginning of this year, and has now recorded a loss of FCFA 275 billion in the second trimester (this year), blamed on the Coronavirus pandemic.
The revenue dislocation and drifting shares have caused outrage within the Societe General Group, generating fears that if measures are not taken to stabilise the trend and overturn the situation, the once robust financial provider which had won several awards as the best bank in Cameroun, will be drifting towards uncharted territory.
The matter is so serious that recently, orders from above asked all senior managers around the General Manager, Frederic Oudea, to disband and a new team nominated under the G.M’s supervision, to develop a long-term strategic Plan for Cameroon’s subsidiary. One of the steps to be taken is to find an important bailout provision to avoid bankruptcy and clear outstanding payments brought about by the pandemic and the period of confinement, explains the bank last August 3, during the official publication of their accounts. Despite the staggering financial crisis, the General Manager, Frederic Oudea, remains cheerful even though their financial reports recorded a 16% drop.
The pandemic has also created serious disruptions in the financial markets of the Group’s complex financial ecosystem where shares are seen to be drifting; “The markets have been dislocated which indicates that the situation has evolved out of order. This means that our products and their guarantees can no longer work. This has caused great hardship to enterprises who have halted the payments of dividends and other shares derivatives. This situation was not foreseen to be possible”, SGC further details. It has been revealed that only the Bonamousadi branch had imposed a five-month restriction with limited service since July 20 because of the pandemic.