A team from the International Monetary Fund (IMF), led by Mission Chief Edward Gemayel, visited Dakar from October 22 to November 6, 2025. The purpose of the visit was to continue discussions on a new IMF-supported program and to review measures related to Senegal's hidden debt. The mission also evaluated recent economic trends and the government's medium-term reform plans.
At the end of the visit, Mr. Gemayel made a statement noting progress in talks with Senegalese authorities. He said, "The IMF staff team held constructive discussions with the Senegalese authorities, making significant strides toward laying the foundation for a new IMF-supported program. These talks focused on policies aimed at strengthening fiscal sustainability, enhancing debt management, and reinforcing governance—key pillars for Senegal’s continued economic success. This mission has provided a solid basis for moving forward, and we look forward to continuing our dialogue in the coming weeks to finalize agreement on the remaining policies and reforms that will underpin the new program."
He acknowledged Senegal's efforts toward transparency and fiscal discipline amid global uncertainty and tighter financing conditions. According to Gemayel, "Despite global uncertainty and tighter financing conditions, Senegal’s economy remains robust in 2025, supported by the first full year of oil and gas production and a rebound in agriculture. Real GDP growth is projected at about 7.9 percent this year, with non-hydrocarbon growth around 3.4 percent, while inflation is expected to average about 1.4 percent."
Fiscal performance through September matched revised budget expectations for 2025. Revenues met targets while non-priority spending was contained. The overall deficit is expected to decrease from 13.4 percent of GDP in 2024 to 7.8 percent in 2025.
Gemayel noted that "The draft 2026 Budget Law reinforces this commitment, targeting a further reduction of the deficit to 5.4 percent of GDP." He added that these goals depend on ambitious revenue efforts such as new taxes on gambling and mobile transfers, land taxation measures, and reducing tax exemptions along with continued spending restraint.
However, he cautioned that "the very high tax yield assumed from the announced measures poses a significant risk," emphasizing more conservative projections could help maintain investment and priority spending.
Senegal's public sector debt remains high at an estimated 132 percent of GDP at end-2024—including domestic expenditure arrears under audit by the Inspectorate General of Finance—prompting active management strategies for both domestic and external obligations.
According to Gemayel: "Good progress has been achieved on the corrective actions related to misreporting, notably improved debt publications, but further decisive steps are needed." He highlighted priorities such as centralizing debt functions within one ministry and completing reforms necessary for resolving issues linked to hidden debt.
Both parties agreed on ongoing reforms aimed at pro-growth fiscal consolidation as well as governance improvements and anti-corruption initiatives.
During their stay in Dakar, IMF representatives met with President Bassirou Diomaye Diakhar Faye; Prime Minister Ousmane Sonko; Minister Ahmadou Al Aminou Lo; Minister Yacine Fall; Minister Abdourahmane Sarr; Minister Cheikh Diba; BCEAO Governor Jean-Claude Kassi Brou; National Director François Sène; other senior officials; development partners; and stakeholders.
For additional background information regarding this mission’s context see https://www.imf.org/en/News/Articles/2025/08/26/pr25282-senegal-imf-staff-concludes-visit
At the conclusion of his remarks Gemayel stated: "The IMF staff team thanks the Senegalese authorities for their warm hospitality, excellent cooperation, and the candor and quality of discussions during the visit."