Douala Tram Project: CFA400 Billion Tender Contradicts Itself on Investor Guarantees

Douala's CFA400 billion tram tender asks investors for 30% equity, yet its annexes ban the traffic guarantees its main text offers. Deadline: 25 February 2027.

Douala Tram Project

The city of Douala wants private investors to build and run its first tram line, a project it prices at CFA400 billion before taxes, roughly €610 million. The tender documents, however, contradict themselves on one question that matters most to any bidder: who pays if passengers do not show up.

The call for expressions of interest (No. 016/AMI/CUD/2026) is dated 26 October and was published on the international dgMarket platform on 29 October 2026, according to Business in Cameroon. Applications close on 25 February 2027.

Key takeaways

  • The estimated cost is CFA400 billion, or about CFA20 billion per kilometre over a 20-kilometre route. It is a budget estimate, not secured financing.
  • Bidders must bring at least 30% of the capital cost in equity, about CFA120 billion, and two bank letters of intent.
  • The main document offers ridership guarantees. Mandatory annexes forbid investors from asking for them.
  • The concession would run for at least 30 years: three for construction and 27 for operation.

What Douala is asking for

The line would link the Bekoko interchange to the SCDP intersection in Ndogsimbi, crossing the Wouri River bridge and the Deido roundabout. It would have two tracks and follow existing road corridors for most of its length. The investor would design, build, operate and maintain the system.

Evaluation rules ask for a financial model with an internal rate of return above 12%, shown in two versions: one using the tax incentives available under Cameroonian rules and one without them. The city has also set a long-term target of 750,000 passengers a day. It estimates that the corridor already carries 1.5 million trips a day across all forms of transport.

The guarantee contradiction

The main tender text describes public support if traffic falls below 70% of the baseline forecast. The city would cover the first part of any shortfall, capped at CFA2 billion a year. The central government would add a balancing subsidy, capped at 40% of projected revenue for the first seven years, and an optional development-bank guarantee of up to CFA14 billion over seven years is mentioned.

Then come the annexes. Annex A6 requires applicants to commit to financing 100% of capital costs with no guarantee from the city or the state, and to carry all passenger traffic risk themselves. Another annex bars requests for budget or traffic guarantees. The documents reviewed show no sign that the central government or any lender has agreed to the proposed support, so for now these are proposals, not commitments.

The city's own contribution is also described in two ways: a minority equity stake in the main text, but only access to the route and a five-hectare land lease for depots in the annex.

Open questions for bidders

The tender says electricity supply must be part of each technical offer, but it gives no estimate of the power needed or the cost of extra equipment. Fares are planning assumptions: under CFA500 for short trips and a ceiling of CFA1,000 before tax for the full line, with trams every four minutes at peak.

The project has missed dates before. In March 2022, Mayor Roger Mbassa Ndine said construction would start in 2023, and it did not.

Frequently asked questions

How much will the Douala tram cost?

The city's estimate is CFA400 billion before taxes. Financing has not been secured.

When is the deadline to apply?

Interested consortiums have until 25 February 2027. The city will then shortlist investors and ask for detailed bids.

For international contractors and lenders, the clarification round before February will matter more than the headline number. For Douala commuters, the 30-year timeline is a reminder that the tram is still a financing exercise, not yet a construction site.

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