Chad's Economic Transformation: A New Path Forward with IMF Support

Chad has aligned with the International Monetary Fund on a pivotal four-year financial aid plan, potentially valued at $630 million, through the fund's Extended Credit Facility, as confirmed on Thursday.

This support arrives at a crucial time for the petroleum-dependent Central African nation grappling with ambitious national development goals amid dwindling oil revenues, decreased public aid, and regional unrest. "Chad stands at a turning point in its history ... The NDP will be implemented in a challenging global context," stated Julien Reynaud, head of the IMF mission.

Chad's economic growth is expected to slow from an estimated 3.5% in 2024 to 3.3% in 2025, with a positive medium-term outlook. The aid package aims to cut Chad's deficit, projected at 1.5% of GDP over its duration. The agreement awaits IMF executive board endorsement and financing assurances.

(With inputs from agencies.)