Hilli Episeyo exit impact on Cameroon economy slows

• The Hilli Episeyo FLNG vessel is set to depart Cameroon in July 2026, leading to a decline in LNG exports.
• The National Economic and Financial Committee (CNEF) forecasts economic growth of 3.2% in 2026, down from 3.5% in 2025.
• The oil sector is projected to contract by 16.1% in 2026 and 18% in 2027, subtracting 0.4 percentage point from overall GDP growth.

The scheduled departure of the Hilli Episeyo floating liquefied natural gas (FLNG) vessel in July 2026 is expected to weigh on Cameroon’s economy by reducing LNG exports and weakening growth, according to the National Economic and Financial Committee (CNEF).

The Hilli Episeyo floating liquefied natural gas (FLNG) vessel is set to depart Cameroon in July 2026, marking a significant event for the country's economy. The scheduled exit of the vessel will lead to a decline in LNG exports, which is expected to have far-reaching consequences for Cameroon's growth prospects. According to the National Economic and Financial Committee (CNEF), the departure of the Hilli Episeyo will weigh heavily on the extractive sector, exports, and the broader economy.

The CNEF has listed the end of the vessel's operations as one of the key factors likely to hurt the country's economic growth. The committee's first-quarter 2026 report highlights the importance of the Hilli Episeyo in Cameroon's energy landscape, noting that its departure will lead to a significant reduction in LNG exports.

The CNEF's forecast for economic growth in 2026 is based on various factors, including the expected decline in LNG exports. The committee projects that the oil sector, which includes hydrocarbon extraction, will contract by 16.1% in 2026 and 18% in 2027. This contraction is expected to subtract 0.4 percentage point from overall GDP growth in both years. The CNEF's report also presents a slightly different baseline, forecasting growth of 3.3% in 2026.

The National Economic and Financial Committee (CNEF) has been monitoring the country's economic performance closely, and its reports provide valuable insights into the challenges facing Cameroon's economy. The committee's forecast for economic growth in 2026 is a key indicator of the country's prospects for recovery from the expected decline in LNG exports.

The impact of the Hilli Episeyo exit on Cameroon's economy will be felt across various sectors, including the extractive sector. Lawyers advising clients in this sector should be aware of the potential compliance exposures related to the expected decline in LNG exports and contraction of the oil sector. The CNEF's forecast for economic growth in 2026 highlights the need for businesses to adapt to changing market conditions and invest in new projects to offset the loss.

The National Economic and Financial Committee (CNEF) has emphasized the importance of diversifying Cameroon's economy, which remains heavily reliant on oil exports. The expected decline in LNG exports will only exacerbate this challenge, making it essential for businesses to explore new opportunities and invest in sectors that are less vulnerable to fluctuations in global energy prices.

Lawyers advising clients in the extractive sector should watch for potential compliance exposures related to the expected decline in LNG exports and contraction of the oil sector, which may impact business operations and investment decisions.

Source: Original reporting via CNEF report