IMF Suspends Senegal Program, Seeks Data Clarity

The International Monetary Fund (IMF) has postponed discussions on a new economic program for Senegal until the government resolves issues surrounding misreported financial data from the previous administration. Following an audit, it was revealed that Senegal's debt and budget deficit figures were significantly higher than previously reported, prompting the IMF to suspend its $1.8 billion credit facility. Finance Minister Cheikh Diba expressed hopes for a new program by June, but IMF mission chief Edward Gemayel emphasized that discussions cannot proceed until the misreporting is fully addressed. The IMF has also called for urgent reforms, including the phasing out of costly energy subsidies, which have disproportionately benefited wealthier households. Additionally, Senegal's increasing oil and gas output could enhance its financial outlook in the future. The IMF's mission aims to clarify the extent of the misreporting and propose necessary reforms to prevent recurrence.