Senegal's finance minister Cheikh Diba said on Tuesday the West African country had revised its 2026 growth forecast upward to 3.2% from 2.5%.

  • The economic ministry previously said growth was expected to slow to 2.5% this year from 6.7% in 2025 due to declining hydrocarbon production.

  • Senegal and the International Monetary Fund have been in talks to resolve the debt issue since the country's then-new leaders revealed the problem in 2024. Diba said the Senegalese government will meet the IMF team again by July 15.

  • The budget deficit is expected to fall to 4.9% of gross domestic product in 2027, 3.8% in 2028 and 3.0% in 2029, Diba said.

  • The deficit was previously expected to return to the West African regional ceiling of 3% of GDP in 2027.

  • Senegal has faced economic challenges since the discovery of around $13 billion in misreported debt attributed to the previous administration.

  • The country will maintain fiscal discipline, essential for regaining the confidence of lenders, Diba said.

  • For the period of 2027 to 2029, the economy's total financing needs are estimated at 19.69 trillion CFA francs ($34.44 billion), or an annual average of 6.56 trillion CFA francs ($11.47 billion).

  • Senegal plans to mobilize more resources through public-private partnerships, revenues from hydrocarbon production and deals with Arab and Asian countries. It will advocate for flexible conditions and simplified disbursement procedures.

($1 = 571.7500 CFA francs)