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Financial situation update: Sheikh Diba reassures the Assembly and justifies the new budgetary decisions

Auteur: Yandé Diop

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État des lieux des finances : Cheikh Diba rassure l'Assemblée et justifie les nouveaux arbitrages budgétaires

Following the plenary session's review of the second amending finance law (LFR2) for 2025, the members of parliament adopted the law. Of the 165 registered members, 133 voted, including 35 by proxy. Of those, 127 voted in favor, with 0 votes and 6 abstentions. It should be noted that Cheikh Diba, Minister of Finance and Budget, presented the main objectives and rationale behind this law to the members of parliament. The Minister first commended the role of parliamentarians, emphasizing their ability to question and refine government initiatives. According to him, "Members of parliament are the anchor of republican values and of their constituent communities."

Cheikh Diba explained that "the discrepancies observed in revenues, averaging 137 billion FCFA, do not reflect a lack of performance in financial administrations, whose recovery rate reaches 99.5%."

Regarding external revenue, he clarified that "the absence of a program with the IMF and the decrease in budgetary grants do not damage Senegal's image. On the contrary, the transparency work undertaken has strengthened its credibility on the international stage. Capital grants (81 billion FCFA) will experience a slight delay due to financing and market procedures."

He mentions that "the September cabinet reshuffle resulted in the transfer and regularization of funds to the new ministries (Labor, Infrastructure, Education, Health), in accordance with the advance decrees and parliamentary requirements." Speaking about priority expenditures, Cheikh Diba stated: "Student scholarships: adjustment of funds to cover November and December. Armed Forces: increased funding to complete the year and support certain sectors. Housing allowance: decree signed, payment underway in coordination with the unions."

The minister emphasized the importance of rigorously monitoring commitment authorizations and payment appropriations to ensure traceability and compliance. The second amending finance law (LFR2) thus strengthens budgetary credibility while addressing end-of-fiscal-year adjustment needs. Cheikh Diba detailed the mechanisms for mobilizing external resources through the regional market and terms of reference (TORs), limiting reliance on foreign currency financing and optimizing the country's financial reserves.

He also reaffirmed the government's commitment to finalizing a program with the IMF, based on corrected statistics and a transparent approach, "to guarantee the credibility and economic stability of Senegal."

Auteur: Yandé Diop
Publié le: Mardi 30 Décembre 2025

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