NAIROBI (Reuters)

Senegal’s sovereign dollar bonds fell on Friday following a government audit that revealed larger debt and deficit figures than previously reported by the former administration, according to Tradeweb data.

The 2033 maturity decreased by 2.3 cents, bidding at 84.54 cents on the dollar as of 0720 GMT, while the 2048 issue fell by 2.42 cents.

The International Monetary Fund (IMF) noted that the government shared the initial findings of the audit, welcoming the report and collaborating with the government to determine next steps.

The audit, ordered by the new government of President Bassirou Diomaye Faye, indicated that the deficit at the end of 2023 exceeded 10%, in contrast with the around 5% reported by the past administration, as stated by Economy Minister Abdourahmane Sarr on Thursday.

Consequently, Faye’s administration opted not to request a disbursement from the IMF in July under its $1.8 billion, three-year lending program, according to Sarr, to remain compliant with IMF regulations.

Both parties are currently engaged in discussions regarding future actions, as confirmed by the government.