The International Monetary Fund (IMF) has reached a staff-level agreement with the Nigerien authorities which will see to the disbursement of approximately US$33 million to support the West African nation’s external financing needs under its ninth review of Niger’s economic reform programme .
The agreement which was announced following an IMF staff mission to Niamey from June 2 to 12, 2026, led by Ms. Julia Bersch will see to the country being onboarded on the Fund’s Extended Credit Facility programme once approved .
Economy Growing Strongly
Niger’s economy recorded solid growth of 6.9 percent in 2025, driven largely by agriculture and the extractive sector, and is projected to expand further to 7 percent in 2026. Over the medium term, growth is expected to average around 6.1 percent, though the IMF has flagged downside risks including heightened security threats, regional conflicts, and climate shocks.
Inflation also declined significantly in 2025, averaging -4.7 percent, though prices have begun rising again and inflation is projected to average -1.9 percent in 2026. The IMF noted that the ongoing war in the Middle East is affecting Niger primarily through higher oil prices with a net positive effect overall while higher transportation and import costs are weighing on the most vulnerable households.
Fiscal Position
Niger’s fiscal deficit stood at 2.9 percent of GDP in 2025, coming in 0.4 percentage points below projections and within the WAEMU fiscal convergence threshold of 3 percent of GDP. The IMF attributed this to strong domestic revenue mobilisation efforts and higher proceeds from crude oil exports.
For 2026, the fiscal deficit is projected to widen to 3.4 percent of GDP to accommodate reconstruction spending following last year’s natural disasters and to provide relief to households affected by the current commodity price shock. Authorities have indicated they will use part of expected oil windfall revenues to build fiscal buffers while maintaining prudent borrowing policies.
Structural Reforms on Track
Programme performance against end-December 2025 and end-March 2026 targets was described as satisfactory. The Nigerien authorities have made progress in strengthening cash flow management, clearing arrears, and improving transparency including through the publication of oil contracts signed between the state and oil companies.
The ECF-supported programme aims to strengthen macroeconomic stability and lay the groundwork for resilient, inclusive, and private sector-led growth. Efforts to strengthen the banking sector and improve support for micro, small, and medium-sized enterprises are also ongoing, backed by the World Bank.
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