Senegal: First Review Under the Policy Coordination Instrument and Request for Modification of Quantitative Targets-Press Release; Staff Report; and Statement by the Executive Director for Senegal

IMF Staff Country Reports, July 24, 2020

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Canonical URL: Senegal: First Review Under the Policy Coordination Instrument and Request for Modification of Quantitative Targets-Press Release; Staff Report; and Statement by the Executive Director for Senegal

The Covid-19 pandemic has ended a period of buoyant growth averaging about 6 ½ percent over the last 6 years.
Containment measures, lower external demand, reduced remittances, and the sudden stop of travel and tourism are taking a significant toll on the economy.
Without forceful policy measures, the current crisis could unravel development gains over the last decade.
The authorities have taken strong actions to contain the pandemic and mitigate its economic fallout, supported by significant additional external financing from Senegal’s development partners.
The IMF disbursed US$442 million (100 percent of quota) under the RFI/RCF in April.

Growth prior to the pandemic: averaging about 6 ½ percent over the last 6 years.
Main channels of economic toll:
- Containment measures.
- Lower external demand.
- Reduced remittances.
- Sudden stop of travel and tourism.
Risk highlighted: Without forceful policy measures, development gains over the last decade could be unravelled.

Authorities’ response: strong actions to contain the pandemic and mitigate economic fallout.
External support: significant additional external financing from development partners.
IMF support: disbursement of US$442 million (100 percent of quota) under the RFI/RCF in April.