In his in-depth analysis, finance expert Seydina Alioune Ndiaye argues that Senegal’s public debt situation has reached a critical point where a well-organized debt restructuring is no longer optional but urgent to avoid a disorderly default and severe liquidity crisis.
Ndiaye highlights that Senegal faces huge refinancing pressures, with an estimated 30 % of GDP needing to be refinanced and around FCFA 6,075 billion required in 2026 alone. This heavy burden, driven by rising debt servicing costs and persistent budget deficits, has severely constrained the state’s fiscal space, leaving little room for essential public investment.He warns that the current trajectory—marked by continuous borrowing to repay existing obligations—simply increases debt stock and interest costs, trapping the country in a cycle of refinancing that erodes economic flexibility and heightens risk. Ndiaye stresses that without a clear, credible, and comprehensive restructuring roadmap, Senegal risks sliding into a disorderly debt default with detrimental effects on financial stability and investor confidence.
According to the economist, restructuring must be organized and negotiated, involving all stakeholders, including domestic and external creditors, to restore debt sustainability, rebuild trust, and protect essential public finances. Ndiaye’s call aligns with broader concerns among analysts about Senegal’s fiscal outlook, especially given debt levels that rank among the highest in emerging economies and financing needs that outpace internal revenue mobilization.
In summary, Ndiaye insists that Senegal’s options are narrowing: either undertake a timely and structured debt restructuring to alleviate financial pressures or face the grave consequences of a default that could destabilize the economy.
