300 Gabonese SMEs ask gov't to pay 60 mln USD debts

The chairman of Gabon's Employer's Association, Francis Jean Jacques Evouna, on Wednesday urged the government to pay debts amounting to 37 billion CFA Francs (about 60 million U.S. dollars) owed to 300 members of the Small and Medium size Enteprizes (SMEs).

"The government must pay us so that we can continue with our operations," Evouna said when he addressed a press conference in Libreville in the presence of tens of industry chiefs.

He threatened that members of his association will demonstrate on the streets if nothing is done soon to "ease" their suffering.

Some SMEs are demanding debts dating back to 5 or even 10 years, he said.

These SMEs won tenders to execute certain government projects. After winning the tenders, they were asked to pre-finance the execution of the projects, but since then, the government has not made any payments.

Heavily indebted, some companies decided to lay off their workers, while others decided to close down.

In June, Gabon's Budget Minister Christian Magnagna announced that the government planned to clear its domestic debt by the end of this year, and that it would settle debts owed to SMEs by the end of July.

About two months ago, Magnagna set up a commission comprised of government officials and representatives of SMEs to come up with modalities for clearing the domestic debt.

During Wednesday's press conference, Evouna urged all SMEs to register with the commission in order to be paid.

The fall in petroleum prices has caused serious challenges for Gabon's public treasury. Operations in almost all national economy sectors have slowed down and strikes have become frequent. Endit