Abdou Nar Dia
Oct. 5 2024 at 07:00
Senegal finds itself at a financial crossroads following the recent revision of its rating by the Moody’s agency. The rating was lowered from Ba3 to B1, placing the country under surveillance due to the increase in budget deficit and debt between 2019 and 2023. In response, the government initiated an audit of public finances, the first results of which were released in September 2024.
To remedy this situation, the Ministry of Finance is announcing a set of reforms intended to reduce the budget deficit from 2025. These measures are part of Senegal’s international commitments with UEMOA and ECOWAS, aimed at stabilizing economic and a gradual reduction in debt.
The plan also includes structural reforms to strengthen the integrity of public finances and adopt financial governance practices consistent with international standards. This includes the integration of digitalized financial systems and strengthening controls to improve budgetary decisions.
Collaboration with international partners such as the World Bank, the IMF, the BCEAO and the BOAD will be crucial. These alliances aim to ensure strict debt management, better governance and increased transparency of budgetary processes.
Finally, the government promises to maintain transparent communication with all parties concerned, by regularly providing official updates to inform the population of progress and actions undertaken.
