Senegal to reconsider rejected budget as it pursues IMF agreement
The government hopes to agree on a 36-month, $2.2 billion IMF program to stabilize public finances amid heavy debt and social tensions.
Senegal’s National Assembly finance committee will examine a revised budget again after Finance Minister Cheikh Diba sought reconsideration of the rejected proposal. Delays could put at risk the government’s efforts to reach a $2.2 billion debt agreement with the International Monetary Fund.
Pastef rejected the draft despite its overwhelming parliamentary majority. Party leader Ousmane Sonko, also the National Assembly speaker, accepted Diba’s request and said he would arrange dates for the committee’s work and a subsequent plenary session.
Diba appealed for responsible dealings between institutions and a constructive resolution, warning against allowing disagreements to trigger a damaging shutdown. Prime Minister Ahmadou Al Aminou Mohamed separately called on Pastef to renew dialogue instead of obstructing the budget.
The IMF puts Senegal’s debt at 132 percent of gross domestic product at the close of 2024, following revelations that the previous administration had misreported billions of dollars in borrowing. The government is seeking a 36-month IMF program intended to stabilize its public finances.
The dispute is unfolding alongside heightened social tensions. Youth unemployment remains high, while a crisis over living costs prompted a general strike lasting three days.
