IMF supports Mauritania to continue economic reforms with nearly $48 million

The Executive Board of the International Monetary Fund (IMF) has announced a preliminary agreement to provide financial support to Tanzania and Mauritania, totaling approximately $428.15 million, to help both countries pursue crucial economic reforms.

For Mauritania, the IMF will disburse around $39.7 million through the Resilience and Sustainability Facility (RSF), alongside an additional $8.6 million through joint arrangements under the Extended Credit Facility (ECF). Tanzania is set to receive $265.78 million under the ECF, and an additional $114.07 million through the Flexibility and Sustainability Facility.

These funds will be made available following a review of the ongoing economic programs in both nations, with the IMF emphasizing that the financing is aimed at supporting economic recovery and bolstering resilience to climate-related shocks.

In its economic outlook for Mauritania, the IMF projected a slowdown in growth, with GDP expected to fall to 4.6% in 2024, compared to 6.5% in 2023, attributing the decline to reduced activity in the mining sector. The Fund also warned that the country’s growth prospects are subject to significant risks, particularly due to rising geopolitical tensions in the region.