{"id":23438,"date":"2026-02-07T11:25:29","date_gmt":"2026-02-07T09:25:29","guid":{"rendered":"http:\/\/jhb-webdevelopers\/channelafrica\/news\/imf-completes-third-review-of-equatorial-guineas-staff-monitored-programme\/"},"modified":"2026-02-27T16:34:14","modified_gmt":"2026-02-27T14:34:14","slug":"imf-completes-third-review-of-equatorial-guineas-staff-monitored-programme","status":"publish","type":"news","link":"https:\/\/www.channelafrica.co.za\/channelafrica\/news\/imf-completes-third-review-of-equatorial-guineas-staff-monitored-programme\/","title":{"rendered":"IMF completes third review of Equatorial Guinea\u2019s Staff\u2011Monitored Programme"},"content":{"rendered":"<p><span data-preserver-spaces=\"true\">The programme is designed to support the authorities\u2019 efforts to adjust the economy to <\/span><span data-preserver-spaces=\"true\">structurally declining<\/span><span data-preserver-spaces=\"true\"> hydrocarbon production.<\/span><\/p>\n<p>&nbsp;<\/p>\n<p><span data-preserver-spaces=\"true\">Equatorial Guinea\u2019s economy is estimated to have contracted by 6.4% in 2025, reflecting a sharp fall in hydrocarbon output after modest overall growth in 2024. With further declines in oil and gas production expected, the IMF projects that the economy will continue to shrink slightly over the medium term.<\/span><\/p>\n<p>&nbsp;<\/p>\n<p><span data-preserver-spaces=\"true\">Inflationary pressures have eased, dropping from a peak of 3.5% in March 2023 to 2.6% in October 2025.<\/span><\/p>\n<p>&nbsp;<\/p>\n<p><span data-preserver-spaces=\"true\">The authorities <\/span><span data-preserver-spaces=\"true\">preserved<\/span><span data-preserver-spaces=\"true\"> the gains from their significant <\/span><span data-preserver-spaces=\"true\">2024<\/span><span data-preserver-spaces=\"true\"> fiscal adjustment during the first half of 2025.<\/span><span data-preserver-spaces=\"true\"> They remained aligned with their target of a non\u2011hydrocarbon primary balance of \u201317.8% of non\u2011hydrocarbon GDP for the year.<\/span><\/p>\n<p>&nbsp;<\/p>\n<p><span data-preserver-spaces=\"true\">Despite this consolidation, public debt is estimated to have increased from 36.4% of GDP in 2024 to 39.2% of GDP at the end of 2025, partly due to declining hydrocarbon revenue.<\/span><\/p>\n<p>&nbsp;<\/p>\n<p><span data-preserver-spaces=\"true\">Equatorial Guinea\u2019s contribution to regional central bank reserves remained negative in 2025, following losses in both 2023 and 2024. To counter these pressures, the authorities aim to deepen fiscal adjustment to keep public debt below 50% of GDP and restore external balance over the medium term.<\/span><\/p>\n<p>&nbsp;<\/p>\n<p>&nbsp;<\/p>\n<p><span data-preserver-spaces=\"true\">Over the past year, the authorities have implemented substantial reforms within the framework of the SMP. Fiscal policy in 2025 was consistent with their strategy to stabilise debt levels and improve the external position. Key reforms included strengthening tax and customs administration, prioritising social spending, and eliminating public school bus fees to ease burdens on families.<\/span><\/p>\n<p>&nbsp;<\/p>\n<p><span data-preserver-spaces=\"true\">The government has also sought regional approval for its domestic arrears clearance plan, considered vital for bolstering financial sector <\/span><span data-preserver-spaces=\"true\">health<\/span><span data-preserver-spaces=\"true\">.<\/span><\/p>\n<p>&nbsp;<\/p>\n<p><span data-preserver-spaces=\"true\">Performance under the SMP has been strong:<\/span><\/p>\n<ul>\n<li><span data-preserver-spaces=\"true\">All end\u2011June 2025 quantitative targets were met.<\/span><\/li>\n<li><span data-preserver-spaces=\"true\">Two of the four structural benchmarks for <\/span><span data-preserver-spaces=\"true\">end\u2011September<\/span><span data-preserver-spaces=\"true\"> 2025 were achieved.<\/span><\/li>\n<li><span data-preserver-spaces=\"true\">A 2026 budget aligned with programme objectives was approved, meeting an additional <\/span><span data-preserver-spaces=\"true\">end-of-December<\/span><span data-preserver-spaces=\"true\"> benchmark.<\/span><\/li>\n<\/ul>\n<p><span data-preserver-spaces=\"true\">The IMF noted that Equatorial Guinea is making progress toward establishing the policy track record required for potential access to financing under the Fund\u2019s Upper Credit Tranche. Continued progress, however, hinges on the implementation of key governance reforms.<\/span><\/p>\n<p>&nbsp;<\/p>\n<p><span data-preserver-spaces=\"true\">A central requirement is the publication of a hydrocarbon sector transparency report; work on this has already begun, reflecting the authorities\u2019 commitment to greater openness in a sector that remains critical to the country\u2019s economy.<\/span><\/p>\n<p>&nbsp;<\/p>\n<p><span data-preserver-spaces=\"true\">&#8211;IMF\/ChannelAfrica&#8211;<\/span><\/p>\n","protected":false},"featured_media":23439,"template":"","meta":{"_acf_changed":false,"_links_to":"","_links_to_target":""},"news-type":[44],"class_list":["post-23438","news","type-news","status-publish","has-post-thumbnail","hentry","news-type-finance","entry"],"acf":{"short_description":"Management of the International Monetary Fund (IMF) has approved the completion of the third review of Equatorial Guinea\u2019s non\u2011financing Staff\u2011Monitored Programme (SMP), the Fund announced on 16 December 2025. ","published_date":null,"news_description":"Management of the International Monetary Fund (IMF) has approved the completion of the third review of Equatorial Guinea\u2019s non\u2011financing Staff\u2011Monitored Programme (SMP), the Fund announced on 16 December 2025. 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