A general view of vehicles driving in downtown Dakar, on September 2, 2026. Photo by PATRICK MEINHARDT / AFP
In its first sale since announcing plans to rework its external debt, Senegal successfully secured 101 billion CFA francs ($179 million) through a government securities auction on Friday.
The result suggests the "debt treatment” that it’s working on has yet to trigger a sharp repricing in Senegal’s regional debt market. Investors submitted 109 billion CFA francs of bids for the 100 billion CFA franc offering, according to regional debt agency UMOA-Titres. The government accepted almost all of the bids.
The country increased the amount it sought by about 43% from its Aug. 28 auction. Bids fell slightly, while borrowing costs remained broadly stable, with the five-year yield falling to 7.89% from 8.24% at the previous auction.
Senegal has turned increasingly to the regional market to meet its financing needs after the International Monetary Fund suspended a $1.8 billion facility following the discovery of billions of dollars in previously undisclosed loans. It opted for a debt revamp after lengthy talks with the IMF, and has said it wants to reprofile rather than restructure its debt, including by extending maturities and renegotiating interest rates.
For Friday’s auction, there were average yields of 7.87% on one-year Treasury bills and 7.75% on three-year bonds.
Senegal said Sept. 1 that it would move forward with a "debt treatment” under the Group of 20’s Common Framework as part of a new $2.2 billion IMF program. The country has said debt denominated in CFA francs will be excluded from any restructuring.
