Niger: Third Review Under the Extended Credit Facility Arrangement, Request for Extension, Rephasing, and Modification of Performance Criteria of the Extended Credit Facility Arrangement, and Request for an Arrangement Under the Resilience and Sustainability Facility-Press Release; Staff Report; and Statement by the Executive Director for Niger

IMF Staff Country Reports, July 12, 2023

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Canonical URL: Niger: Third Review Under the Extended Credit Facility Arrangement, Request for Extension, Rephasing, and Modification of Performance Criteria of the Extended Credit Facility Arrangement, and Request for an Arrangement Under the Resilience and Sustainability Facility-Press Release; Staff Report; and Statement by the Executive Director for Niger

Presents Niger’s Third Review under the Extended Credit Facility (ECF) Arrangement; requests for extension, rephasing, and modification of performance criteria of the ECF Arrangement; and a request for an arrangement under the Resilience and Sustainability Facility (RSF).
The Nigerien economy has been resilient to multiple shocks, including the coronavirus disease 2019 pandemic, the worsening security situation in the Sahel region, and climate shocks.
The outlook is described as favorable, driven by the start of crude oil exports through the new pipeline to the Beninese coast.
Authorities have made good progress in implementing their economic reform program despite security and climate challenges.

Macroeconomic resilience:
- Resilience demonstrated against the coronavirus disease 2019 pandemic, Sahel security deterioration, and climate shocks.
- Favorable outlook linked to commencement of crude oil exports via the new pipeline to the Beninese coast.
Structural constraints:
- Most binding constraints identified: private sector development limitations and lack of economic diversification.
Financial sector priorities:
- Promoting financial stability and inclusion is critical to build resilience.
Policy progress:
- Authorities have made good progress implementing the economic reform program despite challenges.
Key priorities and risks:
- Step up domestic revenue mobilization efforts.
- Advance fiscal consolidation plans while strengthening social and priority spending.

Fiscal policy and revenue:
- Intensify domestic revenue mobilization measures.
- Advance fiscal consolidation in a manner that preserves social and priority spending.
Structural reforms:
- Accelerate efforts to lift constraints to private sector development and economic diversification.
Financial sector:
- Promote financial stability and broaden financial inclusion to enhance resilience.
Program management:
- Continue implementation of reform program despite security and climate challenges to sustain macroeconomic gains.

Subjects: Climate change, Debt sustainability analysis, Environment, External debt, International organization, Monetary policy, Public debt, Revenue administration
Keywords: Climate change, Debt sustainability analysis, DPF series, Global, management strategy, Niger Gorou banda, RSF arrangement, RSF ARRANGEMENT, RSF program, Sub-Saharan Africa, West Africa