Dakar — Economists and financial experts gathered in Dakar to discuss pressing debt challenges facing Sénégal, as the government explores alternatives to the International Monetary Fund (IMF)‘s conventional debt restructuring proposals.

The conference, supported by Prime Minister Ousmane Sonko, saw Ayib Daffé, leader of the ruling Patriotic Africans for Work, Ethics, and Fraternity (Pastef) parliamentary group, take the podium in his absence. He emphasized the need to “expand perspectives” and move away from “conventional thinking,” criticizing the IMF’s proposed debt restructuring as an inadequate solution for the country’s financial strain.

Debt sustainability at a crossroads

All participants agreed that Sénégal’s external debt burden has become unsustainable, despite earlier reassurances from authorities. Souleymane Bah, an economist speaking at the event, warned that current state revenues are insufficient to cover both principal and interest payments. “Typically, the government borrows to repay existing debt, but with rising interest rates, this approach is no longer viable. We urgently need alternative solutions,” he stated.

Challenging the IMF’s approach

The Ideas Africa Network, the organizing body of the forum, argues that the IMF’s policies prioritize creditor interests over economic transformation. Ndongo Samba Sylla, an economist and researcher with the network, criticized the IMF’s “purely accounting-based” strategy, which he claims perpetuates cycles of borrowing without fostering structural economic change.

Potential alternatives discussed included monetary system reforms, exiting the West African CFA franc, and pushing for the cancellation of portions of debt deemed “illegitimate” due to opaque contracting processes under the previous administration.

President Bassirou Diomaye Faye, meanwhile, was in Kenya meeting with IMF Managing Director Kristalina Georgieva, though no significant progress was reported from the discussions.

The divergent approaches—local experts advocating for innovative solutions and the government engaging with the IMF—highlight the complexities of Sénégal’s debt crisis and the urgent need for a balanced, sustainable path forward.