Senegal’s Strong Reputation with World Bank Key to Accessing Concessional Financing
– Senegal continues to enjoy a positive reputation with institutions like the World Bank, allowing it to access crucial financial support, according to Ousmane Diagana, the World Bank’s Vice President for West and Central Africa. This was reported in an interview with Le Soleil published today.
Diagana outlined key areas where Senegal can leverage its financial potential, focusing on both domestic improvements and external partnerships. He identified two primary internal focuses: broadening the tax base and improving the efficiency of resource utilization.
Regarding the tax base, Diagana acknowledged the significant informal sector within the Senegalese economy. However, he believes there are untapped areas that can be integrated into the tax system, ensuring that all those capable of contributing to domestic resource mobilization are included.
“Then there’s the question of efficiency in the use of mobilized resources,” Diagana said. “The better existing resources are managed, the better the performance in public management. That’s why I mentioned earlier a better targeting of public investment programs as well as a more rigorous definition of public policies.”
While the absolute amount of resources available to countries is influenced by the global economic context, Diagana emphasized that concessional resources are available through institutions like the World Bank. These resources are allocated based on a country’s overall performance and assessed over a relatively long period.
“Fortunately, Senegal is one of the countries that still enjoys a good reputation with institutions like the World Bank, which allows it to access these concessional resources,” Diagana stated.
However, the World Bank’s country director stressed the importance of ensuring these resources are mobilized promptly and used in accordance with project objectives and established implementation plans. Effective and timely execution, he implied, is critical to maximizing the impact of the funding.
The World Bank approved $115 million in concessional financing for Senegal in June 2025, as reported by the World Bank and EcoFin Agency. This funding is intended to improve public debt sustainability, strengthen public financial management, and boost domestic resource mobilization. The financing supports the government’s flagship reform initiative, SENFINTRAC, which aligns with Vision 2050 and the upcoming RESET development policy framework.
This support comes as Senegal navigates broader economic challenges and seeks to accelerate progress towards its long-term development goals. The World Bank’s continued confidence in Senegal’s commitment to fiscal responsibility and good governance is a key factor in securing this vital financial assistance.
The $115 million operation, known as the Strengthening Senegal’s Fiscal Sustainability Program (SEN-FISCALE), is a reflection of the strong partnership between the Government of Senegal and the World Bank to advance fiscal reforms. By improving how public resources are raised, managed, and spent, the program is expected to help create the conditions for more inclusive growth, better service delivery, and greater resilience to economic and climate-related shocks.
The program supports reforms across three key areas: public financial management, public debt sustainability, and domestic resource mobilization. These efforts are closely aligned with the government’s broader reform agenda.
