Senegal is struggling under an oppressive debt burden; recent bloody student protests bear witness to this. The country needs international support to prevent another West African democracy from faltering.
In early February, I travelled to Senegal. During my visit, I spoke with students at the Université Gaston Berger in Saint-Louis. They stressed that many of them feel they have no prospects in the country. The question of whether to stay and try to bring about change or embark on the costly and dangerous journey to Europe was the subject of intense debate. On the day of my departure, protests again flared up across the country and escalated dangerously at the Université Cheikh Anta Diop (UCAD) in Dakar.
Young People Have Lost Trust in the New Government
Images of burning dormitories and police beatings – and of medical student Abdoulaye Ba, who was killed in the riots – caused outrage across Senegal. The protests were driven by student frustrations over the non-payment of government stipends. Some have not received bursary payments for over a year; without them, they can hardly make ends meet. There has been a series of conflicts over financial support for students in recent years. But this latest clash is also an expression of the deep economic crisis affecting Senegal, as well as of a loss of confidence among young people in the country’s new government, for whom they took to the streets in 2024.
At the end of 2025, the International Monetary Fund drastically revised its estimation of Senegal’s public debt, raising it to 132 per cent of GDP. According to the IMF, hidden debt of this magnitude has rarely been seen in Africa. As a result, the World Bank and the African Development Bank halted their payments to Dakar. For the first time in years, more money is flowing out of Senegal to multilateral creditors than into the country. Talks on urgently needed new credit have made little progress for months.
High Debt, High Interest Rates, High Societal Pressure
The sticking point in the IMF negotiations is the question of debt restructuring. The Senegalese government wants to avoid this – and the associated default – at all costs. Instead, it is pursuing a risky course, issuing new bonds at large scale on regional capital markets, raising taxes, and collecting levies more consistently. In the short term, this has provided some breathing space. In the long term, however, this approach makes borrowing more expensive due to high interest rates. It also increases pressure on societies. In a country where over a third of the population lives below the poverty line, fiscal discipline can quickly turn into political instability. The bloody protests at UCAD are a warning example.
At the same time, Senegal’s investment needs are increasing, driven by rapid population growth and the consequences of climate change. The country has been particularly hard hit by the climate crisis, with coastal erosion, droughts, and crop failure. By 2030, climate-related damage could cost three to four per cent of economic output annually. This makes it clear that today’s cost savings postpone necessary investments in the country’s future and ultimately increase tomorrow’s costs.
Debt Relief for Investments in the Green Transition
Senegal’s resistance to debt restructuring underscores the sensitivity of this approach for many countries in the Global South. It appears to be politically acceptable only if social cuts are cushioned and access to capital markets quickly restored. Debt restructuring should also include debt relief to create new financial leeway for investments in the country's green transformation. Until now, considerable funds have flowed into debt servicing. Instead, they could be invested in the expansion of agroecological agriculture, coastal protection, and better water management – thereby strengthening sustainable development.
Ultimately, much depends on the political will of international partners. Those in Europe with an interest in partnerships with the Global South must assume financial responsibility. Countries such as Germany should use the G20 Common Framework for Debt Treatments to ensure that restructuring is implemented more rapidly, combined with debt relief where necessary, and accompanied by new financing commitments. After all, stability does not flow from austerity measures but rather from credible prospects. Within West Africa, a region that has experienced a rash of recent military coups, support for Senegal would also send an important geopolitical signal: democracies stand up for each other.
Originally published in German, translated by Katy Nicholson.
>>Further information on the topic of Debt Relief: Debt Relief for Green and Inclusive Recovery
Get Involved - Presidents' column
Get involved! There’s no other way to be real – thus the message of Heinrich Böll, and, to this day, his encouragement is inspiring us. With this column the Presidents of the Foundation involve themselves in current social and political debates. This column will appear each month, authored, in turn, by Jan Philipp Albrecht and Imme Scholz.