(Bloomberg) — The International Monetary Fund approved about $1.8 billion in loans for Senegal to support the nation’s recovery and protect it from future shocks.
The West African economy will receive an immediate disbursement of about $216 million, the Washington-based lender said in a statement on Monday following an executive board meeting.
The board approved an extended fund and credit facility of $1.51 billion over three years, as well as $324 million from its resilience and sustainability trust, aimed at helping the country deal with prolonged risks such as climate change.
A confluence of external shocks largely linked to Russia’s invasion of Ukraine hindered Senegal’s post-Covid-19 recovery, strained public finances and external payment positions and increased its debt levels.
“Reducing growing debt vulnerabilities requires a steadfast implementation of the fiscal consolidation strategy anchored on commitments to reach a fiscal deficit of 3% of GDP by 2025,” the fund said, referring to gross domestic product.
The money will help boost fiscal space for the government of President Macky Sall, who spent 4% of gross domestic product last year to keep fuel and food prices under control after costs rose. It also provides balance of payment support for the economy that is poised to become Africa’s second-fastest growing this year, is scheduled to hold presidential elections next year and is recovering from riots.
Clashes broke out earlier this month between the police and supporters of popular opposition leader Ousmane Sonko, who was sentenced to two years in prison for “morally corrupting a youth,” which could prevent him from running in next year’s elections. The violent protests left at least 16 people dead and several stores looted and torched.
Read More: Senegal Army Patrols Dakar Streets as 15 Die in Protests
The start of oil and gas production in the fourth quarter may accelerate Senegal’s economic expansion to 8.3% this year, the fastest in Africa after Libya’s projected growth of 17.5%, according to the IMF.
Public debt will ease to 73.1% of GDP after rising 28 percentage points from pre-pandemic levels to 75% of GDP last year, IMF said. Inflation is expected to slow to 5%, down from 9.7% in 2022.
TORONTO – Strength in the base metal and technology sectors helped Canada’s main stock index gain almost 100 points on Friday, while U.S. stock markets also climbed higher.
The S&P/TSX composite index closed up 93.51 points at 23,568.65.
In New York, the Dow Jones industrial average was up 297.01 points at 41,393.78. The S&P 500 index was up 30.26 points at 5,626.02, while the Nasdaq composite was up 114.30 points at 17,683.98.
The Canadian dollar traded for 73.61 cents US compared with 73.58 cents US on Thursday.
The October crude oil contract was down 32 cents at US$68.65 per barrel and the October natural gas contract was down five cents at US$2.31 per mmBTU.
The December gold contract was up US$30.10 at US$2,610.70 an ounce and the December copper contract was up four cents US$4.24 a pound.
This report by The Canadian Press was first published Sept. 13, 2024.
OTTAWA – Statistics Canada says wholesale sales, excluding petroleum, petroleum products, and other hydrocarbons and excluding oilseed and grain, rose 0.4 per cent to $82.7 billion in July.
The increase came as sales in the miscellaneous subsector gained three per cent to reach $10.5 billion in July, helped by strength in the agriculture supplies industry group, which rose 9.2 per cent.
The food, beverage and tobacco subsector added 1.7 per cent to total $15 billion in July.
The personal and household goods subsector fell 2.5 per cent to $12.1 billion.
In volume terms, overall wholesale sales rose 0.5 per cent in July.
Statistics Canada started including oilseed and grain as well as the petroleum and petroleum products subsector as part of wholesale trade last year, but is excluding the data from monthly analysis until there is enough historical data.
This report by The Canadian Press was first published Sept. 13, 2024.
TORONTO – Canada’s main stock index was up more than 150 points in late-morning trading, helped by strength in the base metal and energy sectors, while U.S. stock markets were mixed.
The S&P/TSX composite index was up 172.18 points at 23,383.35.
In New York, the Dow Jones industrial average was down 34.99 points at 40,826.72. The S&P 500 index was up 10.56 points at 5,564.69, while the Nasdaq composite was up 74.84 points at 17,470.37.
The Canadian dollar traded for 73.55 cents US compared with 73.59 cents US on Wednesday.
The October crude oil contract was up $2.00 at US$69.31 per barrel and the October natural gas contract was up five cents at US$2.32 per mmBTU.
The December gold contract was up US$40.00 at US$2,582.40 an ounce and the December copper contract was up six cents at US$4.20 a pound.
This report by The Canadian Press was first published Sept. 12, 2024.
