The administrators of the International Monetary Fund validated on June 27 the review of the reforms undertaken by Gabon within the framework of the Extended Credit Facility (MEDC), of 553 million dollars (523.9 million euros) over three years, approved in July 2021. The IMF therefore ordered the disbursement of the second tranche of financing, i.e. approximately 155 millions of dollars.
In detail, the new macroeconomic data for Gabon, made public by the Fund on the occasion of this review, show a real improvement in the major budget balances and growth forecasts.
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A year ago, the institution led by Kristalina Georgieva forecast a budget deficit of -3.5% of GDP for the year 2021 and only anticipated a return to balance in 2024 (+0, 4%). According to the new estimates, the deficit was more moderate last year (-1.8%) and the State should return to balance this year (+0.9%) for a clear surplus next year ( +3.2%).
“Higher oil prices have helped strengthen the fiscal and external positions and reduce the public debt“, notes for its part the multilateral institution. Oil revenues reached 8.5% of non-oil GDP in 2021, when the IMF and Libreville initially forecast 6.8%. At the same time, spending and net lending were 1 percentage point below expectations.
Few new loans
“There have been a lot of debt repayments and little new borrowing. However, servicing the debt absorbs almost 40% of the revenue collected”, explains to Young Africa a senior administrative official public Gabonese.