Economist Professor Thierno Thioune spoke about the governance challenges and expectations surrounding hydrocarbons. A guest on the program "Point de vue" this Sunday, December 7, 2025, on RTS, he called for the transformation of oil and gas revenues into productive levers, in order to avoid the "resource curse" and consolidate the country's industrial base.

"Senegal must absolutely avoid the trap into which several producing countries have fallen," he said, citing as an example Nigeria, the continent's leading producer, but where 70% of the population still lives in poverty.

"Senegal has opted for prudent management." But, he says, this prudence must be accompanied by a solid strategic foundation, so that resources do not become a macroeconomic burden, but a lever for transformation.

According to the economist, the “intergenerational fund mechanism”, inspired by models like Norway, is not relevant for a country still in transition towards upper-middle-income status.

"Keeping resources in a fund that will yield little return, while the economy is suffering from structural deficits, is not optimal," he explains.

He adds that "investing these revenues directly in industrialization would drive a profound transformation of the national economy, modernize agriculture, create jobs and strengthen the country's productive base."

"Oil and gas are exhaustible resources. Their existence should therefore be seen as a window of opportunity to diversify the economy and not as a sustainable source of income on which to base all hopes for development," he insists.

He also pointed out that the contribution of these resources to GDP remains marginal at this stage. "The risk would be to overexpose the economy to a windfall that is still uncertain and volatile."

Thierno Thioune indicated that one of the first tangible benefits of gas should lie in the conversion of power plants. This switchover, he believes, will reduce production costs by 30 to 50 CFA francs per kilowatt-hour and allow for an electricity selling price of around 100 CFA francs.

"Such a gain would have a direct impact on household purchasing power, but also on the competitiveness of national industries."

Professor Thioune welcomed the renegotiation efforts undertaken by the authorities, calling for clear-sightedness: "My margins are limited. The oil companies have made risky investments that they will legitimately seek to make profitable, which limits the possibilities of substantially revising the contractual terms," he said.

"The challenge is not to believe in a total overhaul of contracts, but to optimize the use of expected revenues and to direct resources towards the most promising sectors," he adds.

According to the economist, the construction of a second refinery between 2027 and 2029 is a necessity. "The population could approach 40 million inhabitants by 2050. At this rate, a single refinery will not be sufficient to meet national demand or to support an ambitious industrialization strategy," he believes.

Returning to the topic of oil and gas revenues, he stated: "These resources must be used to transform the economy, not to wait for modest financial returns in some distant investment fund."

According to him, the objective is clear: "To strengthen productive capacities, support industry, create wealth and build a resilient economy, beyond the volatility of hydrocarbons," he concluded.