The Minister of Finance and Budget did not appear before the IMF Board of Directors on 24 July, where he knew that questions awaited him on the causes and circumstances of the latest 450 billion Eurobond, in which the partners were not involved. Diba’s faux pas has deprived the country of an immediate disbursement of €230 billion, which would have been particularly welcome before the December disbursement of €109 billion.

In an interview with journalists to mark his 100 days in power, President Bassirou Diomaye Faye stated that he did not find any money in the State coffers, let alone in those of the Presidency. BDF even went so far as to declare that he was unable to respond to certain requests made to him.

It didn’t take long for the country to be abuzz with comments of all kinds following this presidential outburst. While his supporters raised their voices to declare that “Macky has taken all the Presidency’s money, going so far as to eat up in 3 months a budget voted for the whole year” some observers could not believe their ears. Like members of the Apr, Macky Sall’s party, they pointed out that there was no ‘cupboard at the Palace where banknotes were stored for the slush fund’. Seydou Guèye, the spokesman for the former presidential party, even detailed the famous special funds known as ‘slush funds’, their amount and their destination, as determined by the Assembly.

Read the column – Waves of new rich, Struggles of new poor

But the most serious problem, beyond this political controversy, is that this statement by President Diomaye contradicts the declarations of international financial partners. This is what the head of the IMF’s latest mission to Dakar said. Recalling all the financing that the country has received over the past 3 months, in addition to the funds raised on the international financial markets, Senegal’s partners pointed out that the country had such a surplus of funds that, in principle, it did not even need to raise the latest Eurobond of 450 billion CFA francs.

Is this why the new funds raised by the government have still not been the subject of an amending finance bill? This may also explain why the much-vaunted funding has not yet been injected into the budget, at a time when sectors of the economy are under financial strain. And the IMF does not seem likely to help matters.

Read the column – Atlantic Africa: between threats and opportunities

Le Quotidien

has learned that two new payments are planned for the current financial year, one of 230 billion in July 2024 and another of 109 billion in December 2024. The IMF’s last review mission, which visited Dakar from 6 to 19 June 2024, concluded that Senegal’s case should be submitted to the Board of Directors of the international institution in July 2024. This meeting, which should validate this year’s first disbursement, had in fact been scheduled for 24 July 2024. The meeting has now been postponed until September. It is said that the Minister of Finance and Budget, Cheikh Diba, feels the need to prepare himself better, and with good reason! According to ministry officials, he needs to find a way of explaining the causes and circumstances of the latest Eurobond to the lenders.

In the meantime, it is to be hoped that the State will not go into debt before being able to benefit from its financing.

By Mohamed GUEYE / mgueye@lequotidien.sn

  • Translation by Ndey T. SOSSEH