By Tabora Bojang
In his 2026 budget speech Friday, Finance Minister Seedy Keita informed lawmakers that The Gambia’s debt has risen from D110.7 billion in 2023 to D129.5 billion as of the end of 2024.
This, according to him, is attributable to “exchange rate depreciation” and “additional stock accumulation”. Minister Keita noted that although the debt stock remains high, it is “sustainable” and that measures are in place including borrowing at highly concessional terms, reduction of annual borrowing ceiling and fiscal deficit to ensure debt sustainability. He said in light of these measures, the overall fiscal deficit in the 2026 budget is projected to narrow to 1.0 percent of GDP compared to 1.3 percent of GDP in 2025. “This fiscal consolidation is intended to reduce the borrowing needs of the government to ensure debt sustainability and ease access to private sector credit,” Minister Keita added.
D28 billion domestic revenue collected in 9 months
Minister Keita also informed deputies that the government’s domestic revenue mobilisation reforms are bearing fruit with D28.8 billion collected for the first nine months of 2025 against the target of D22 billion.
Developments in domestic economy
According to Minister Keita, the recovery process in the domestic economy continued to gain momentum with real GDP estimated to grow by 5.9 percent in 2025 from 5.6 percent in 2024. This, he said, will be supported by slower inflation, a stable exchange rate, booming construction activities, enhanced agriculture productivity, growth in tourist arrivals and robust remittances.
He forecast growth in the following sectors: agriculture sector by 5.1 percent in 2025; industrial sector by 6 percent; services sector by 6 percent, to be supported by the initiatives from Gambia Tourism Board and sector players.
2025 budget pressures, overspending
On the spending side, Minister Keita revealed that the implementation of the 2025 budget faced pressures related to 2024 outstanding commitments of about D690 million, which were carried over to 2025 unbudgeted transfers linked to earmarked revenues of about D1.6 billion and contingent liabilities from state owned enterprises. He further disclosed that total expenditure for the first nine months of 2025 stood at D36.3 billion representing an execution rate of 103 percent against the target. “Because of the higher expenditure pressures and underperforming nontax revenues, the overall deficit including grants amounted to D7.0 billion during the first nine months of 2025,” Minister Keita told lawmakers.
