IMF Cautious Outlook: Julie Kozack Explains Why

During her press briefing on November 13, 2025, the director of the IMF’s Communications department, Julie Kozack, provided rare and detailed insight into Senegal’s budgetary situation. At the heart of the discussions: the extent of vulnerabilities linked to public debt, the question of possible restructuring, and the role of the Senegalese authorities in revealing hidden debts.
“The Senegalese authorities deserve to be commended for their commitment to revealing the hidden debt”
Julie Kozack first wanted to publicly recognize the efforts of the Senegalese government:
“We once again want to commend the authorities for their commitment to transparency and the steps taken to disclose hidden debt. »
This declaration marks a clear break with recent tensions between Dakar and certain financial institutions, after the uncovering of undeclared debts which had led the IMF to suspend a previous program.
Public debt: major vulnerabilities and open discussions
The IMF confirms that discussions held in Dakar from October 22 to November 6 highlighted “significant vulnerabilities” regarding the country’s debt.
However, contrary to speculation about an imposed restructuring, Kozack clarifies:
“The decision whether or not to consider debt restructuring is a sovereign decision of the Senegalese authorities. »
In other words: the IMF is not imposing a restructuring, but it is discussing it as one possible technical option among others.
What does the IMF expect from Senegal? Three key axes
Kozack structured the IMF’s approach around three components:
1. Clarify the numbers and clean up the legacy of hidden debt
The IMF and the World Bank are currently finalizing a new Debt Sustainability Analysis (DSA) incorporating the corrected data.
2. Restore financial credibility
The Fund recommends several reforms:
• centralization of debt management,
• strengthening of budgetary control,
• increased transparency of government financial operations.
3. Build a new IMF-Senegal program
Work continues to put in place an agreement based on:
• macroeconomic stabilization,
• credible structural reforms,
• a sustainable financing framework.
No request for early repayment: a strategic clarification
To remove ambiguities, Kozack stressed that the IMF would not require any early repayment of Senegal’s commitments:
“The staff and management will not request the early repayment of Senegal’s obligations to the IMF. »
This message aims to reassure the markets, while Senegalese bonds had shown strong volatility in recent weeks.
Markets, taxes, sovereignty: the IMF is procrastinating
Asked about the decline in performance of Senegalese bonds, Kozack refused any direct comment.
Concerning the tax reform plan announced by Dakar, she qualifies:
“Ambitious tax plans take time to produce effects. Assumptions must remain cautious. »
A way of asserting that the government’s new taxation measures involve implementation risks, but without issuing direct criticism.
Conclusion: between truth, transparency and sovereignty
Julie Kozack’s message is clear:
• the IMF recognizes Senegal’s transparency efforts,
• he warns against the fragility of the debt,
• it does not impose anything, but offers options to stabilize the situation,
• the final decision rests exclusively with the Senegalese government.