Chad has reached a staff-level agreement with the International Monetary Fund (IMF) as it seeks to secure a four-year Extended Credit Facility (ECF) program valued at approximately $630 million.
- Chad has reached a staff-level agreement with the IMF for a prospective four-year Extended Credit Facility program worth $630 million.
- If approved by the IMF, the program aims to reduce Chad’s public budget deficit and ensure fiscal consolidation through various reforms.
- This IMF support is expected to attract further international financing, aiding Chad’s implementation of comprehensive development and reform plans.
Announced in May 2025 following negotiations in N’Djamena, the agreement awaits approval by the IMF Executive Board and the securing of necessary financing assurances.
The program is designed to support Chad’s long-term development agenda, anchored by its Vision 2030 framework and the accompanying National Development Plan (NDP).
Vision 2030, officially titled “The Chad We Want,” sets the country’s strategic direction to become an emerging economy by 2030. It focuses on strengthening good governance and the rule of law, promoting national unity, and creating conditions for sustainable socio-economic development.
The Vision 2030 framework is structured around four strategic axes:
- Strengthening national unity through promoting peace, civic values, and cultural inclusion.
- Enhancing good governance and the rule of law, including improving public administration, economic governance, democratic culture, and security.
- Developing a diversified and competitive economy, emphasizing infrastructure, domestic savings, and private investment.
- Improving the quality of life for the Chadian population, focusing on environmental sustainability and social well-being.
If approved, the IMF program would align with these strategic priorities, aiming to reduce Chad’s public budget deficit from over 4% of GDP to an average of 1.5% over the next four years.
This fiscal consolidation would be supported by reforms in revenue mobilization, expenditure control, and restructuring of state-owned banks to enhance financial sector stability.
Chad’s economic outlook
Chad’s economy grew by an estimated 3.5% in 2024, down from 5% in 2023, with growth expected to slow slightly to 3.3% in 2025.
The economic outlook remains vulnerable due to external shocks including fluctuating oil prices, Chad’s main revenue source, regional security challenges, and reduced official development assistance.
The proposed program also encourages Chad’s continued collaboration with the Central African Economic and Monetary Community (CEMAC) to maintain macroeconomic and financial stability in the region.
Beyond immediate fiscal objectives, the anticipated IMF support is expected to catalyze additional financing from international partners, bolstering Chad’s efforts to implement its ambitious reform agenda and development strategy.
Chad’s Vision 2030 and the National Development Plans (2017–2021, 2022–2026, and forthcoming 2027–2030) provide a comprehensive roadmap for structural transformation. These plans emphasize social policy improvements, economic diversification, governance reforms, and environmental sustainability as key pillars for achieving long-term stability and growth.
The IMF mission, led by Julien Reynaud, expressed appreciation for the Chadian government’s cooperation during the May 5–16 discussions.
The mission engaged with senior government officials, representatives from civil society, the financial sector, and development partners to ensure broad-based support for the program.
As Chad navigates a complex regional environment marked by conflict and economic pressures, the IMF-backed program, if approved, would represent a critical opportunity to strengthen fiscal discipline, enhance governance, and accelerate development goals for the benefit of its population.
Fathia Olasupo
