Senegal’s 2026 revised budget: a high-stakes vote for the Pastef majority
Senegal’s National Assembly is currently examining the 2026 revised finance law, a text that has been on the deputies’ table since 18 September. The bill revises the budget deficit to 1,735.2 billion CFA francs, or 7.6% of GDP, up from the initially planned 5.4%. The government attributes this deterioration mainly to increased subsidies for the energy sector, new priority expenditures, and lower revenues.
The energy sector accounts for the bulk of the shock. The envelope to support the sector rises from 250 to 790.3 billion CFA francs, an increase of 540.3 billion. Meanwhile, expected revenues fall to 5,848.7 billion CFA francs, 340.1 billion less than the 6,188.8 billion forecast in the initial finance law. The executive justifies this revision by the effects of the global energy crisis and a rainfall deficit.
To contain the drift, the text sacrifices investment. The government plans a reduction of 555 billion CFA francs in investments, split between domestic and external resources. In return, some social safety nets are strengthened: the family security scholarship envelope increases from 35 billion to 70 billion CFA francs. Finally, authorities aim to bring energy subsidies below 1% of GDP by 2029, while better targeting vulnerable households. This last orientation crystallises concerns about the price of electricity and fuel.
A vote that forces the Pastef majority to choose between two bad options
The revised finance law is not a simple accounting adjustment. It comes after the agreement reached between Senegal and the IMF, which remains subject to approval by the Fund’s Board of Directors. The agreement in principle covers $2.2 billion over 36 months. The IMF mission chief for Senegal, Mercedes Vera Martin, has been…
The Pastef majority must decide whether to approve a budget linked to the IMF agreement or risk being accused of paralysing the state. Each option carries a political cost.
What the revised budget means for households and the political landscape
The reduction in investment and the increase in energy subsidies could have direct consequences for Senegalese households. The government’s plan to phase out subsidies while targeting vulnerable households raises fears of higher electricity and fuel prices. At the same time, the political tension within the Pastef majority adds uncertainty to the vote’s outcome.
As the debate continues, all eyes are on the National Assembly, where the Pastef majority faces a defining moment that could shape Senegal’s economic and political future.