(Ecofin Agency) – On the menu, the death of Malawian vice-president Klaus Chilima, inflation in the UEMOA zone, the agreement with creditors in the context of the debt in Ghana, the 2025 budget of Côte d’Ivoire and the cabinet reshuffle in Rwanda.
Malawi: Vice President Klaus Chilima dies in plane crash
Malawi President Lazarus Chakwera has announced the death of Vice President Saulos Klaus Chilima and nine others in a plane crash near Mzuzu. The device had been missing since Monday morning. Chilima had served under former President Peter Mutharika and ran in the 2019 presidential election. In 2022, he was involved in an anti-corruption operation. His disappearance caused great emotion and tributes throughout the country.
UEMOA: inflation soars in Niger, Burkina Faso and Benin in April 2024
In April 2024, Niger (11%), Burkina Faso (3.7%), and Benin (3.1%) recorded the highest inflation rates within the UEMOA, according to the BCEAO. These increases are linked to economic tensions and sanctions impacting trade. On the other hand, Senegal and Togo saw their inflation fall, and Ivory Coast remained stable. WAEMU headline inflation increased to 3.7% in April, mainly due to food and housing prices. The BCEAO forecasts stability of this rate for May and June 2024.
Ghana announces agreement with its official creditors
On June 12, 2024, Ghana announced an agreement with its official creditors to formalize the debt treatment agreed in January. This memorandum, which has yet to be signed, reduces debt service and makes it possible to finance critical sectors such as infrastructure, health and education. In economic crisis for several years, Ghana had suspended the payment of its external debt in 2022 and restructured its internal debt. The deal is expected to result in IMF approval of a $360 million loan and attract more financial support from partners like the World Bank.
Ivory Coast: planned increase of 11.5% in the budget for 2025
The Ivorian budget for 2025 increases by 11.5%, reaching 15,301 billion FCFA ($25.1 billion). Estimated at 17,480 billion FCFA (28.7 billion USD) in 2027, this budget aims to improve revenue collection and control expenditure while supporting debt and investment.
Côte d’Ivoire is enjoying economic growth with annual GDP forecast at 7.4% from 2025 to 2027. Standard & Poor’s upgraded its outlook from “BB-” to positive in May, following a Eurobond issue of $2.6 billion. The country also concluded financing agreements of $4.8 billion with the IMF.
Rwanda: Paul Kagame reshuffles his government a few weeks before the elections
On June 12, 2024, Rwandan President Paul Kagame reshuffled his government. Yusuf Murangwa becomes Minister of Finance, Olivier Nduhungirehe Minister of Foreign Affairs, and Vincent Biruta Minister of the Interior. Jeanne d’Arc Mujawamariya is appointed Minister of Civil Service, and is succeeded by Valentine Uwamariya in charge of the Environment.
New officials are appointed to head the prosecution and the Tax Authority. Alfred Gasana, former Minister of the Interior, is proposed as ambassador to the Netherlands. This reshuffle comes before the July 15 elections where Kagame is running for a fourth term.
