IMF, Burkina Faso Reach Staff-Level Agreement on Fourth Review of ECF and Climate-Focused Facility
The International Monetary Fund (IMF) has reached a staff-level agreement with Burkina Faso on the completion of the fourth review of the country’s Extended Credit Facility (ECF) arrangement and a new 18-month Resilience and Sustainability Facility (RSF) to support climate-related reforms.
The discussions, held in Ouagadougou from October 29 to November 12 and led by IMF Mission Chief Jaroslaw Wieczorek, formed part of ongoing engagements under the ECF approved by the IMF Executive Board in September 2023 for SDR 228.76 million (about US$302 million). The new RSF arrangement amounts to SDR 90.3 million (about US$122.7 million).
Following the talks, Mr. Wieczorek confirmed that the agreement, once approved by the IMF Executive Board—expected in early February 2026—would enable the disbursement of about US$32.7 million, bringing total disbursements under the ECF to roughly US$130.8 million.
According to the IMF, Burkina Faso’s economic outlook remains positive, supported by rising gold prices and ongoing fiscal and governance reforms. Real GDP growth is projected at 5 percent in 2025, while inflation is expected to average -0.5 percent due to lower food and energy prices before turning positive but moderate in 2026. Strong gold exports are also projected to result in a small current account surplus.
The Fund noted that fiscal performance under the ECF has been strong, with end-June 2025 performance criteria largely met, keeping the 2025 fiscal deficit target of 4 percent of GDP within reach. The draft 2026 budget projects a deficit of 2.8 percent of GDP, with the possibility of increasing to 3.5 percent to accommodate additional concessional financing for development and social projects.
Burkina Faso has also made notable progress in governance reforms, including its exit from the FATF gray list and implementation of key recommendations from the IMF’s Governance Diagnostic Assessment. Ongoing reforms target enhanced transparency in mining permits and public procurement, as well as improved fiscal governance.
The proposed RSF program aims to boost climate resilience and sustainability through reforms centered on disaster risk finance, resilient infrastructure investment, sustainable energy and water access, and enhanced climate finance transparency.
The IMF mission engaged senior government officials including Prime Minister Rimtalba Jean-Emmanuel Ouedraogo, Minister of Economy and Finance Aboubakar Nacanabo, and other key ministers, as well as representatives from the private sector and development partners.
Mr. Wieczorek expressed appreciation for the authorities’ strong commitment, open dialogue, and hospitality during the mission.
