- IMF, Niger reach staff-level deal on ninth ECF review, unlocking US$33 million
The International Monetary Fund and Nigerien authorities have reached a staff-level agreement on the ninth review of Niger’s economic programme under the Extended Credit Facility, paving the way for a disbursement of about US$33 million once approved by the IMF Executive Board.
The agreement follows an IMF staff mission to Niamey from June 2 to 12, 2026, led by Julia Bersch, to assess performance under the ECF-supported programme and discuss the authorities’ reform agenda.
The IMF said the agreement remains subject to Executive Board approval, with a Board meeting expected in late July 2026. Completion of the review would enable the disbursement of SDR 24.0828 million, equivalent to about US$33 million, to help meet Niger’s external financing needs and support reform implementation.
“The Nigerien authorities and IMF staff reached staff-level agreement on the ninth review of Niger’s economic program supported by the ECF,” Ms Bersch said at the end of the mission.
Niger’s economy remained resilient in 2025, with growth estimated at 6.90 per cent, and is projected to expand by 7.00 per cent in 2026, driven mainly by agriculture and the extractive sector.
Over the medium term, growth is expected to average around 6.10 per cent, supported by the country’s economic potential and rising activity in key productive sectors.
However, the IMF cautioned that the outlook remains exposed to significant downside risks, including heightened security threats, regional conflicts and climate shocks. Elevated gross financing needs and a possible further decline in concessional financing could also intensify fiscal pressures.
Inflation declined sharply in 2025, averaging -4.70 per cent, but prices have recently started rising. The IMF projects inflation to average -1.90 per cent in 2026.
The Fund said the war in the Middle East is affecting Niger mainly through higher oil prices, producing an overall net positive effect for the oil-exporting economy. However, higher transport and import costs are adding pressure to inflation and weighing on vulnerable households.
On the fiscal side, Niger recorded a deficit of 2.90 per cent of GDP in 2025, which was 0.40 percentage points lower than projected and within the West African Economic and Monetary Union fiscal convergence criterion of 3.00 per cent of GDP.
The IMF attributed the stronger-than-expected fiscal outcome to significant domestic revenue mobilisation efforts and higher proceeds from crude oil exports.
For 2026, the fiscal deficit is projected to widen to 3.40 per cent of GDP to accommodate reconstruction spending following last year’s natural disasters and to support vulnerable households affected by the current commodity price shock.
In view of significant risks and tight financing conditions, the authorities are expected to use part of the anticipated oil revenue windfall to build fiscal buffers while continuing prudent borrowing policies and prioritising concessional financing and grants.
The IMF said Niger’s ECF-supported programme is designed to strengthen macroeconomic stability and create the basis for resilient, inclusive and private sector-led growth.
Programme performance against end-December 2025 and end-March 2026 targets was described as satisfactory. The authorities were also credited with making significant progress in strengthening cash flow management, clearing arrears and improving transparency by publishing oil contracts signed between the state and oil companies.
The Fund said the Nigerien authorities remain committed to structural reforms aimed at supporting revenue mobilisation and strengthening governance, accountability and transparency.
Reforms to strengthen the banking sector and improve its capacity to support private sector-led growth are also expected to continue. These include a financial-sector revitalisation project and a support programme for micro, small and medium-sized enterprises, backed by the World Bank.
During the mission, the IMF team met with Prime Minister Ali Mahamane Lamine Zeine, Minister of Economy and Finance Maman Laouali Abdou Rafa, National Director of the BCEAO Mahaman Tahir Hamani, senior government officials, private sector representatives and development partners.
The staff-level agreement marks an important step in Niger’s engagement with the Fund, but final approval will depend on IMF management clearance and Executive Board consideration.
For Niger, the next phase of the programme will test the authorities’ ability to balance reconstruction needs, social protection, oil revenue management and fiscal consolidation, while navigating security, climate and external financing risks.
