In a press conference in Dakar on Thursday, March 26 in Dakar, the Minister of Finance and Budget of Senegal, Cheikh Diba, strongly denied recent information from the Financial Times mentioning an undisclosed debt of 650 million euros. He insists that these information do not reflect reality.
The minister explained that the Total Return Swaps (TRS) are part of the financing plan for 2025, approved by the National Assembly through the budget law and its amending budget. These operations have enabled the mobilization of 721 billion CFA francs (1.10 billion euros) on the regional market at an average rate of 7%, much lower than the 11-12% that eurobonds would cost on the international market. “There is no hidden debt or undisclosed liability,” Cheikh Diba affirmed.
He specified that TRS are fully legal and secure: no state assets have been used as collateral, and investors do not receive any preferential treatment. The funds brought in by investors are converted into CFA francs to finance the local economy, and then converted back into currencies upon repayment, with exchange rate risk coverage provided by the BCEAO.
These instruments also aim to strengthen the liquidity of the financial market of the West African Monetary Union (UMOA) and facilitate access for member states to financing. The funds mobilized are used to support priority projects, particularly in the solar energy sector, while also financing the state budget.
Finally, the minister recalled that all information on TRS was communicated to the National Assembly on November 29, 2025, integrated into the economic and financial report attached to the budget law for 2026, and shared with financial partners. “These instruments are technical tools to optimize access to resources, not occult mechanisms,” Cheikh Diba concluded.
As a reminder, in an article published on Monday, March 23, the British newspaper reported on a debt of 650 million euros that had not been disclosed by Senegal, raising concerns about the transparency of public finances and the management of financial instruments.
