** Senegal: a fundraising in time of budgetary crisis **
Senegal is currently going through a complex budget phase. The recent revelation of a hidden debt amounting to $ 7 billion, left by the previous administration of Macky Sall, threw a shadow on the country’s public finances. This situation forces the current government to explore alternative financing paths to support its ambitious program.
To cope with these challenges, the Senegalese public treasury launched a fundraising of 150 billion FCFA (around 229 million euros) from the population, in order to finance development projects. This initiative arouses various reactions within the population. Some citizens, such as Abdourahmane Sow, express their patriotism and their desire to contribute to the national effort, emphasizing the need to support the power in place in difficult periods. Others, like Yela Ba, remain more reserved, stressing that the proposed yields do not seem attractive, especially for those who have no high capital.
### The impact of debt on investors’ confidence
The revelation of the hidden debt and the consequences which result from it, in particular the lowering of the note of Senegal by Moody’s, have considerable repercussions on the confidence of investors. The IMF program, which could have brought a puff of oxygen, is currently suspended, pushing the Senegalese state to diversify its sources of funding. The option of using UEMOA securities markets is a targeted response to a situation where the use of external borrowing could lead to prohibitive interest rates, given the increased risk perception.
### Finding sustainable solutions
The fundraising was, in one week, successful with the collection of more than 400 billion FCFA. This craze can be seen as a sign of a strong civic commitment. However, he raises questions about the sustainability of borrowed strategies. Elimane Haby Kane, analyst within the Think Tank Legs Africa, encourages to reflect on economies that could be made on investments deemed inefficient. This raises a critical point: in the period of budgetary restrictions, it sometimes becomes more judicious to reassess and redirect investments rather than constantly resorting to borrowing.
### The challenge of communication
Another essential aspect in this dynamic is communication between the State and the population. It is fundamental that the authorities clearly explain the use of the funds raised and the long -term plans to straighten the financial situation. The lack of transparency can cause doubts and distrust, thus complicating the mobilization of future funds.
### Conclusion: A narrow path
Senegal is at a crossroads. The current government efforts to raise funds through public savings calls are laudable, but they are wrapped in uncertainty. If these initiatives can be a springboard, they should not mask the urgent need for structural reforms, better resource management and rigorous financial planning.
Fund collection with citizens represents a testimony to collective commitment, but it must be part of a broader and thoughtful approach. The road to economic stability is strewn with pitfalls, and finding lasting solutions will require continuous cooperation between the State, investors and the population. Ultimately, such a dynamic can not only strengthen trust, but also pave the way for robust and inclusive economic development for Senegal.