Senegal, IMF Agree on $2.2 Billion Loan Programme

Published by: The Fatu Network

The International Monetary Fund (IMF) and Senegal have reached an agreement on a new three-year, $2.2 billion loan programme aimed at supporting economic reforms and restoring the country’s debt sustainability.

The deal comes after the IMF froze a previous $1.8 billion programme following the discovery of more than $11 billion in government debt that had not been properly reported under the previous administration. Senegal’s public debt was estimated at 132% of GDP at the end of 2024.

Under the new programme, Senegal plans to improve the management of public debt, strengthen financial transparency, increase government revenue and better control spending, while expanding support for vulnerable households.

Senegal has also announced plans to seek a restructuring of some of its debt. The IMF says the programme could help unlock additional financing from the World Bank, African Development Bank and other international partners.

The agreement is still subject to final approval by the IMF Executive Board.