Gambia must stop borrowing as debt stock soars, IMF says

Advertisement New

Shutterstock photo

ABIDJAN, May 9 (Reuters) – Gambia must refrain from new government borrowing, the International Monetary Fund warned on Wednesday, after its debt stock reached around 130 percent of gross domestic product at the end of last year.

More than half of that debt is owed to external creditors, the Fund said in a statement following a mission to the West African country.

Gambia is emerging from over two decades of authoritarian rule under ex-president Yahya Jammeh, who led a lavish lifestyle, often on state funds, before being forced to flee into exile a year ago.

Advertisement New
Advertisement New

“Maintaining debt sustainability will necessitate refraining from contracting new government debt or contingent liabilities before additional fiscal and borrowing space has been achieved, and leveraging more private investment,” the IMF said.

The statement said Gambia’s economy is expected to expand by 5 to 5.5 percent this year, up from 3.5 percent last year.

Now Read This:  When the university of the Gambia was being planned, many of the most educated advisers of former President Yahya Jammeh, advised him to work on strengthening the Gambia College instead.

From: Nasdaq

Advertisement New
Sharing is caring !

Related posts