The International Monetary Fund (IMF) has approved additional financial support for Niger following the successful completion of the eighth review of the country’s economic reform programme under the Extended Credit Facility (ECF), along with the fourth review under the Resilience and Sustainability Facility (RSF).
The decision clears the way for the immediate disbursement of about $61 million under the ECF arrangement, bringing total funding provided through the programme to roughly $306 million. Niger will also receive an additional $30 million through the RSF, increasing total disbursements under that facility to about $131 million.
Niger’s ECF programme was first approved in December 2021 to support economic reforms and stabilisation efforts, while the RSF arrangement, introduced in July 2023, focuses on strengthening the country’s ability to withstand climate-related shocks. The IMF Board has now extended the ECF programme by twelve months to December 2026, giving authorities more time to implement key reforms and address ongoing balance-of-payments pressures.
In addition to the extension, the Fund approved increased access to financing equivalent to 60 percent of Niger’s quota. The IMF said this additional support is necessary to help the country cope with rising external financing needs and budget pressures triggered by factors beyond its control, including security challenges, commodity price swings, and climate shocks.
Despite these difficulties, Niger’s economy has shown notable resilience. Real GDP growth is estimated at 6.9 percent for 2025, supported largely by favourable agricultural output, which also helped ease inflationary pressures. However, the IMF warned that risks remain high, particularly due to insecurity, reduced external assistance, volatile commodity markets, and recurring extreme weather events.
The Fund noted that disruptions in the resource sector and climate impacts have created new external financing needs equivalent to about one percent of GDP for 2026. While fiscal tightening measures are expected to cover part of the gap, the newly approved financing will help close the remaining shortfall.
According to the IMF, the additional resources will be directed toward humanitarian assistance, priority infrastructure projects, and reforms aimed at strengthening economic stability. Key policy priorities include improving the health of the banking sector through comprehensive assessments, enhancing oil revenue management with stronger transparency safeguards, and increasing domestic revenue collection while making public spending more efficient.
The Fund also urged the government to borrow cautiously and rely primarily on concessional financing to avoid debt distress. It further recommended clearing outstanding arrears and strengthening cash and debt management systems to prevent future payment backlogs.
A governance diagnostic assessment currently underway is expected to be published by the end of June 2026. The IMF believes its findings will support efforts to strengthen anti-corruption measures and improve the overall investment climate, thereby encouraging private sector-led growth.
Meanwhile, reforms under the RSF programme have been completed successfully. These measures are designed to boost Niger’s resilience to climate shocks while attracting financing for climate-related investments, a critical need for a country highly vulnerable to environmental risks.
