IMF Approves New Funding for Burkina Faso to Boost Economic Stability and Climate Resilience
The Executive Board of the IMF has completed the fourth review of Burkina Faso’s Extended Credit Facility Arrangement, enabling an immediate disbursement of about US$33.2 million, and approved a new Resilience and Sustainability Facility (RSF) arrangement of about US$124.3 million through September 2027 to strengthen external stability and climate resilience.
The review forms part of the country’s 48-month IMF-supported programme approved in September 2023. With the latest disbursement, total financial support under the ECF arrangement has reached about US$165.8 million.
The RSF reforms aim to strengthen fiscal resilience to shocks, integrate climate considerations into public financial management, enhance the performance of state-owned enterprises in climate‑sensitive sectors, and catalyze green financing.
The IMF stated that despite the ongoing security and humanitarian challenges ongoing in the country , Burkina Faso’s economic outlook remains positive. With the Real GDP growth estimated to have accelerated to 5 percent in 2025, up from 4.8 percent in 2024, supported largely by higher gold prices and reforms in the mining sector.
Medium term growth is projected to remain between 4.5 and 5 percent, subject to improvements in security conditions.
With Inflation expected to stabilize at about 2 percent in the medium term after it slowed down significantly in 2025 due to food prices.
The country’s foreign trade has also improved due increase in exports, especially gold.
The current account is expected to move from a deficit in 2024 to surpluses in 2025 and 2026, although importing mining equipment may reduce some of the gains.
Fiscal consolidation also remained on track, supported by strong revenue performance, wage bill controls and restrained capital spending. The fiscal deficit in 2025 stayed within the programme target of 4 percent of GDP, reflecting improved domestic revenue mobilization, particularly from the mining sector.
According to the statement, programme implementation has been largely satisfactory with authorities meeting most quantitative targets and structural benchmarks, with minor misses addressed through corrective measures.
The IMF further emphasised that continued reform efforts will be crucial to sustaining macroeconomic stability, strengthening private-sector growth and managing exposure to commodity price volatility. It also stressed the need to safeguard spending on health, education and social protection while advancing fiscal consolidation.
The Fund said Burkina Faso’s ability to withstand challenges shows why continuous reforms, better governance and focused investment are essential for long-term growth.
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