Senegal maintains stance against debt restructuring despite rising fuel prices and fiscal pressures
On August 15, 2026, the Senegalese government increased the prices of super petrol and diesel, raising the price of super petrol from 920 to 990 FCFA per liter and diesel from 680 to 755 FCFA. This adjustment returns prices to levels seen before a reduction in December 2025. The government attributes the increase to a surge in global oil prices, with super petrol rising by 61% and diesel by 69% since the conflict in the Middle East began in late February 2026. Authorities stated they absorbed over 245 billion FCFA in subsidies since January and faced an additional 47 billion FCFA in costs for the upcoming month without the adjustment. This move has reignited discussions in Dakar about whether Senegal can avoid public debt restructuring. The country's public debt trajectory has been under scrutiny since 2025, following revelations by the Court of Auditors in February 2025, confirmed by an audit from Forvis Mazars, which showed public debt at 111% of GDP for 2023 and potentially over 130% for 2024 due to previously undeclared liabilities. This led the IMF to suspend a $1.8 billion financing program in 2024. JPMorgan noted in May 2026 that Senegalese bonds maturing in 2033 were trading with a 15% discount, implying a potential restructuring with a five-year maturity extension. Despite these pressures, the Senegalese government officially rejects debt restructuring. Finance Minister Cheikh Diba affirmed the country's ability to meet its commitments, citing the mobilization of 5,7
