Senegal's credit rating downgraded by S&P over high debt
S&P said it now estimated that the government's debt-to-GDP ratio finished last year at 118%.
Senegal's credit rating downgraded by S&P over high debt
Prime Minister Ousmane Sonko last year termed the public finances situation as "catastrophic." / Reuters
a day ago

Senegal's sovereign credit rating was cut by S&P Global to B- late on Monday and immediately put it back on a negative outlook - effectively another downgrade warning - due to growing concerns about the country's soaring debt levels.

Senegal's recently increased its debt figures following an audit and S&P said it now estimated that the government's debt-to-GDP ratio finished last year at 118%, versus its previous forecast of 104%.

S&P said the decision to put Senegal's rating back on a 'negative outlook' reflected concerns that the higher debt figure, coupled with higher-than-expected financing requirements for this year, and large debt payments next year, would "intensify funding pressures on the government."

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"We understand that Senegal's external financing requirements materially exceed our previous estimates, which may complicate negotiations on a new program with the International Monetary Fund," S&P added in its rating review published late on Monday.

SOURCE:Reuters
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