Senegal Says Debt Burden Will Be Managed Without Restructuring, Sonko Assures

Senegal’s Prime Minister, Ousmane Sonko, has said the country will not pursue a debt restructuring plan despite facing a challenging repayment schedule and mounting public debt pressures. Speaking on Thursday, Sonko sought to reassure citizens and international partners that the government remains confident in its ability to manage its obligations through internal reforms and disciplined economic management.

The West African nation is currently grappling with a sharp rise in public debt, which the International Monetary Fund said reached 132 percent of gross domestic product at the end of 2024. The figure surged after the new administration disclosed the existence of billions of dollars in previously unreported liabilities accumulated under the former government. The revelations have raised concerns among investors and development partners about fiscal transparency and long term sustainability.

Sonko acknowledged the seriousness of the situation but stressed that Senegal’s priority is to stabilise public finances without resorting to restructuring, which can be disruptive and damage investor confidence. He said the government is focused on restoring credibility through improved debt reporting, stronger budget controls and reforms aimed at boosting domestic revenue mobilisation.

The prime minister also pointed to ongoing discussions with international financial institutions, including the IMF, as part of broader efforts to recalibrate economic policy and rebuild trust. While repayment pressures remain high in the near term, the government believes a combination of fiscal discipline, economic growth and better governance will allow Senegal to meet its commitments.

Analysts note that Senegal’s stance reflects a desire to avoid the social and political costs often associated with debt restructuring, particularly at a time when the new leadership is under pressure to deliver economic relief and reforms. However, they caution that sustained transparency and credible policy implementation will be critical if the country is to navigate its debt challenges without external intervention.

For now, the government’s message is one of resolve. As Senegal confronts the legacy of undisclosed debt and tight fiscal space, Sonko’s assurances signal an attempt to balance accountability, stability and confidence at a pivotal moment for the country’s economic future.