The International Monetary Fund (IMF) has suspended its $1.8 billion credit facility to Senegal, citing concerns over misreported economic data under the previous government of former President Macky Sall.
The IMF stated on Monday that discussions on a new program could not proceed until the current administration addresses the financial discrepancies.
Last month, Senegal’s Court of Auditors revealed that the country’s debt and budget deficit were significantly higher than officially reported.
According to the audit, Senegal’s total outstanding debt at the end of 2023 was 99.67% of GDP, far exceeding the 74.41% previously disclosed by the former administration.
Finance Minister Cheikh Diba expressed hopes for a new IMF agreement by June, but IMF mission chief Edward Gemayel remained cautious, saying, “everything is possible” but refraining from committing to that timeline.
Gemayel also stated it was “too early to tell” whether Senegal might face a credit event, such as debt restructuring, rescheduling, or default.