Financial status of small and medium scale enterprises based on non-wood forest products (NWFP) in Central Africa

This paper analyses the financing gaps of small and medium forest enterprises (SMFEs) in two countries located in central Africa. Total capital required for the development of 151 pilot enterprises in Cameroon and the Democratic Republic of Congo was evaluated at US$ 1335025 out of which enterprises own contribution was 63% and the remainder was subject to external assistance. There was consistent variation in capital requirements, own contribution and level of assistance sought among the enterprises. The paper recommends the provision of both technical and targeted financial assistance to SMFEs in central Africa.

► We analyse the financing gaps of small and medium forest enterprises (SMFEs).
► We examine the extent to which owners of SMFEs can generate financial capital.
► We find financial gaps in fully kick-starting SMFEs.
► Financial gaps vary from one SMFE to another within and across countries.
► Targeted financial assistance to SMFEs is important for SMFE in central Africa.