The International Monetary Fund (IMF) announced that it will take “several more weeks” before deciding on Senegal’s request for debt relief, after the country’s hidden debt was revealed to exceed $11 billion.
Following this disclosure, the IMF suspended its previous $1.9 billion lending program.
Edward Gemayel, head of the IMF mission, stated that “discussions with the Senegalese authorities will continue in the coming weeks” on the corrective measures required before the case can be presented to the Executive Board.
He reaffirmed the IMF’s readiness to support Senegal in designing an ambitious reform agenda.
The delay comes as the Senegalese government unveiled a new economic recovery plan, relying 90% on domestic financing to avoid further debt accumulation.
The country also plans to reassess its economy for the first time since 2018, a step that could significantly reduce its debt-to-GDP ratio.
Securing IMF debt relief remains critical for Senegal to unlock a new lending program and avoid the immediate repayment of outstanding amounts.
