Senegal’s finance committee is set to reconsider a revised national budget after Finance Minister Cheikh Diba appealed to lawmakers to reopen discussions, amid concerns that delays could jeopardize a proposed US$2.2 billion program with the International Monetary Fund (IMF). Diba made the request on Tuesday after the draft budget was rejected by the ruling Pastef party, which holds a large majority in the National Assembly. He said renewed discussions were necessary to reach a constructive outcome and prevent institutional disagreements from disrupting the country’s economic recovery efforts. National Assembly Speaker Ousmane Sonko, who leads Pastef, agreed to the request and said arrangements would be made for committee deliberations and a subsequent plenary session. He urged lawmakers to approach the vote calmly and make their decisions with clarity.
The budget dispute comes as Senegal faces mounting pressure over its public finances. The IMF has estimated that the country’s public debt reached 132 per cent of gross domestic product (GDP) by the end of 2024, following the discovery of billions of dollars in previously misreported borrowing by the former administration. The government is seeking a new 36-month, US$2.2 billion arrangement with the IMF to help stabilize public finances and restore confidence in the country’s economic management. Delays in approving the revised budget could complicate negotiations, although the outcome will also depend on the IMF’s assessment and the government’s commitments.
Prime Minister Ahmadou Al Aminou Mohamed called on political opponents on Monday to avoid blocking the budget process, warning that prolonged disagreement could disrupt the country at a time of economic difficulty. The dispute is unfolding amid public frustration over high living costs and youth unemployment. A three-day general strike last week underscored the economic pressures facing households and workers. The coming parliamentary discussions will be important in determining the budget’s next steps as Senegal seeks to address its debt burden, meet fiscal commitments and secure support for its economic recovery.
