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IMF Executive Board Completes 8th ECF Review for Niger, Approves $91m Additional Financing

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IMF Executive Board Completes 8th ECF Review for Niger, Approves $91m Additional Financing

The Executive Board of the International Monetary Fund (IMF) has completed the eighth review of Niger’s economic and financial programme supported under the Extended Credit Facility (ECF), alongside the fourth review under the Resilience and Sustainability Facility (RSF) arrangement.

Completion of the reviews allows for the immediate disbursement of SDR 43.8228 million (about US$61 million) under the ECF arrangement, bringing total disbursements under the programme to SDR 228.0628 million (about US$306 million).

In addition, Niger will receive SDR 21.714 million (about US$30 million) under the RSF arrangement, bringing cumulative disbursements under that facility to SDR 98.702 million (about US$131 million).

Niger’s ECF programme was originally approved on December 8, 2021, and later complemented by the RSF arrangement approved in July 2023. The IMF Executive Board has also approved a twelve-month extension of the ECF programme to December 2026 to support the implementation of additional reforms and help address protracted balance-of-payments needs.

The Board further approved an augmentation of access under the ECF arrangement equivalent to 60 percent of quota. According to the IMF, the additional access will provide the authorities with resources to address increased balance-of-payments and budget financing needs arising from exogenous shocks.

Commenting on the decision, IMF Deputy Managing Director and Acting Chair of the Executive Board, Kenji Okamura, noted that Niger’s economy has demonstrated resilience despite security shocks and extreme climate events.

He stated that real GDP growth is estimated at 6.9 percent in 2025, while consumer prices declined on the back of favourable agricultural conditions.

However, he cautioned that elevated uncertainty and downside risks persist, including the security situation, commodity price volatility, reduced external assistance and recurrent climate shocks.

According to him, progress in implementing reforms under the ECF-supported programme remains crucial to consolidating macroeconomic stability, strengthening the banking system and advancing inclusive growth.

The IMF noted that shocks in Niger’s resource sector, combined with extreme climate events, have created additional balance-of-payments financing needs of about 1 percent of GDP in 2026.

While fiscal adjustment will cover part of the gap, the approved augmentation under the ECF arrangement is expected to help close the remaining financing shortfall.

The Fund indicated that the additional resources will support humanitarian needs and priority infrastructure spending, while also facilitating reforms aimed at strengthening macroeconomic stability and resilience.

Key reform priorities include strengthening liquidity and solvency in the banking sector through comprehensive diagnostics, implementing an oil revenue management strategy backed by stronger governance and transparency, and scaling up domestic revenue mobilisation while improving spending efficiency.

The IMF also advised the authorities to borrow prudently and rely on concessional financing to limit risks of debt distress.

It further urged the authorities to clear remaining arrears and strengthen cash and debt management systems to prevent future arrears accumulation.

The Fund added that the authorities should use the ongoing governance diagnostic assessment—expected to be published by end-June 2026—to strengthen governance and anti-corruption frameworks in support of private sector-led growth.

According to the IMF, reforms supported under the RSF arrangement have been successfully completed and could help build resilience to climate shocks while mobilising financing for climate-related investments.

Tags: Approves $91m Additional FinancingIMFIMF Executive Board Completes 8th ECF Review for Niger
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