Banjul, 17th April 2025: The International Monetary Fund (IMF) team led by Ms. Eva Jenkner, with coordination from the Ministry of Finance and Economic Affairs (MoFEA) on Wednesday, 16th April 2025, issued a press release announcing a staff-level agreement with the Gambian authorities on the 3rd review of the Extended Credit Facility (ECF) and request for the Resilience and Sustainability Facility (RSF).
Subject to approval by the IMF’s Executive Board, whose meeting is tentatively scheduled for June 18, 2025, the completion of the 3rd review would enable a disbursement of SDR 12.44 million (about US$16.8 million) under the ECF programme, and a potential access of SDR 46.65 million (about US$65 million) under the RSF.
Delivering the press release at the end of the mission, Ms. Eva Jenkner, stated that this will enable further disbursements under the programme, which is expected to be around 16-17 million dollars being dispersed by the end of June.
Additionally, the IMF’s resilience and sustainability facility will add an additional access of $65 million to help enhance the economy’s resilience to climate change and support long-term macroeconomic stability.
“Economic activity in The Gambia is strengthening, with growth estimated at 6% for 2024, supported by tourism and construction sectors. Tourist arrivals are recovering, and remittance inflows have also strengthened. Inflation declined to single digits or 9.1% in March, while the central bank’s medium-term objective of 5% remains above, she added”.
She reported that fiscal performance in 2024 was weaker than anticipated due to unbudgeted spending pressures, transfers linked to earmark revenues, and faster execution of donor finance capital projects, current spending exceeded initial plans, and the overall deficit exceeded projections, reaching 3.8% of GDP.
“The authorities remain committed to meeting the program’s targets and structural reforms agenda, albeit with some delays. Quantitative objectives under the ECF supported program have been largely met, and progress has been made on significant structural benchmarks relative to public procurement, state-owned enterprises management, social registry expansion, and improved budgeting,” she said.
She further stated that the central bank of The Gambia is committed to maintaining fiscal responsibility in 2025 and in the medium term to respond to the Gambia’s large social and development needs in a sustainable manner.
The government is strengthening its reform agenda on governance and anti-corruption, improved public service delivery, public access to financial and legal information, and an enhanced business environment to encourage private sector investment and growth. The proposed RSF arrangement, subject to approval by the IMF executive board, will contribute to the effective implementation of the country’s climate agenda.
Ms. Jenkner assured the continued collaboration between the IMF and the Gambian authorities and stand ready to help them through financing, policy advice, and strong technical assistance.
Hon. Seedy Kieta, Minister of Finance and Economic Affairs (MoFEA), announced the launch of the RSF programme, a new initiative by the Gambian government to address climate and environment issues.
“The programme will provide an additional $65 million in funding to Gambia. This is the first time The Gambia has a similar programme, combining both an ECF programme and an RSF programme,” he stated.
He also mentioned that the IMF team and government authorities have reached a staff-level agreement, subject to board approval.
“The President of the Republic, Adama Barrow, has created an environment for open and transparent discussions between the ministry and development partners,” he said.
The Minister thanked the Fund for its continuous support and praised the Gambian staff for their active engagement in the mission.
By Fatou B Cham
