Burkina Faso-IMF: agreement reached within the framework of the 2nd review of the economic program

• Supported by the Extended Credit Facility

• The agreement provides for the payment of 20 billion FCFA

The staff of the International Monetary Fund (IMF) and the Burkinabe authorities concluded, on November 14, 2024, a staff-level agreement for the second review of the economic program of Burkina Faso, with the support of the Extended Credit Facility ( ECF). Once the review is approved by the IMF Board of Directors, Burkina Faso will receive a payment of approximately 32 million US dollars in funding, or approximately 19.85 billion FCFA. Note that a meeting of the IMF Executive Board is tentatively scheduled for December 2024.

According to a statement from the IMF dated November 14, discussions focused on macroeconomic and fiscal developments, improving fiscal transparency and governance, reducing fiscal risks, and improving efficiency in the energy sector. “Burkina Faso’s performance under the program was generally satisfactory. All but one of the quantitative performance criteria and indicative targets were achieved. Significant progress has also been made on the implementation of structural reforms. The authorities are making progress in subsidy reform and public finance management,” the press release reads.

As a reminder, the IMF team, led by Martin Schindler, head of mission for Burkina Faso, held meetings in Ouagadougou, from September 30 to October 9, and in Washington, on the sidelines of the 2024 IMF-World Bank Annual Meetings, to discuss on macroeconomic policies as part of the second review of the four-year programme, supported by the Extended Credit Facility (ECF). The FEC arrangement was approved by the IMF Management on September 21, 2023, for a total amount of 302 million US dollars over four years, or 187.41 billion FCFA.

Similar articles