DAKAR, June 23 (Reuters) – Senegal’s ministry of economy, finance and planning on Tuesday issued a statement rejecting comments made two days earlier by Trade Minister Serigne Gueye Diop which indicated that the government could be ready to restructure its debts if necessary.
- The statement, sent to international investors, said Diop’s remarks “merely reflect personal views and should not be construed as representing the official position of the Government of Senegal.”
- The West African country’s finances have been in crisis since the 2024 discovery of billions of dollars in debt that were misreported by the previous government.
- The International Monetary Fund froze its lending programme over the discovery and the two sides have been discussing a new programme since. The Fund’s mission chief visited last week.
- Apart from Diop’s comments, Senegalese authorities have publicly opposed a restructuring. They approached the IMF visit still reluctant to accept one, two sources told Reuters, citing domestic political opposition.
- Many investors view a restructuring as necessary to achieve debt sustainability. Then-Prime Minister Ousmane Sonko said in November that the IMF had proposed one, and called the proposal “a disgrace”.
- Some investors believed Sonko’s dismissal as prime minister last month would help clear the way for a debt overhaul.
- Many also expected more aligned messaging from the government after the finance and economy ministries were combined last month.
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