By Fatou Sillah
Finance and Economic Affairs Minister Seedy Keita informed the National Assembly on Wednesday that the World Bank has increased its anticipated budget support to The Gambia from $20 million to $45 million, with a portion of the funds designated to clear outstanding arrears owed to Karpower.
Minister Keita explained that while the government had initially projected $20 million in the 2025 budget, subsequent discussions with the World Bank resulted in a significantly higher commitment.
“We had put in the budget 20 million expected budget support from the World Bank but we had a very good engagement with the bank and they have increased this to 45 million dollars. This is part of it which is to be used to pay off the Karpower arrears upon the termination of the Karpower agreement,” He Said.
Providing an update on project and programme grants for the 2025 fiscal year, Minister Keita reported that project grant disbursements have reached 5.56 billion dalasis, representing 43.8% of the approved 12.6 billion dalasi allocation for the year.
“As of the first half of the 2025 fiscal year, the total project grants received amount to 5.56 billion which represents 43.8% of the approved budget of 12.6 billion for 2025,” he said.
He added that no budget support had been received in the first half of the year, but the World Bank has now finalized its financing agreement, while EU budget support is in an advanced stage of processing.
“We are likely going to receive it in the coming weeks and we have met all the conditions for the EU budget support,” He Said.
The minister also disclosed that The Gambia has reached a staff-level agreement with the International Monetary Fund (IMF), creating a pathway for further disbursements once the IMF Board meets in mid-December.
“We have reached a staff level agreement with the fund and met all the conditions, the board of the IMF will discuss our review on the 12th of December after which the disbursement will follow,” He Said.
Minister Keita expressed confidence that the government will receive all expected budget support grants before the end of the fiscal year.
“We are sure that we will receive all the budget support grants we have identified in the budget,” he assured.