(Ecofin Agency) - • IMF disburses $58 million under Extended Credit Facility in June 2025
• Funds support fiscal reforms, digitization, and public service spending
• Growth projected to rise to 3% in 2025 if reforms are swiftly executed

The International Monetary Fund (IMF) has approved a $58 million disbursement for the Central African Republic (CAR) under the third and fourth reviews of its Extended Credit Facility arrangement. The decision, announced in June 2025, aims to support the country’s prolonged balance of payments needs and preserve priority spending on essential public services.

The financing will help drive structural and fiscal reforms, including digitization of revenue and public finance management systems, enhancement of the Financial Intelligence Unit, and strengthening of the national audit court, the IMF stated.

Program performance was mixed during the review period. Of the six performance criteria set for June and December 2024, only three were met. Shortfalls included the internal primary deficit and net domestic financing targets, as well as non-compliance with the continuous criterion on avoiding external arrears.

Despite these gaps, the IMF noted encouraging economic prospects. Growth is projected to rise from 1.9% in 2024 to 3% in 2025. This outlook is driven by higher energy use, recovery in the mining sector, infrastructure development, and improved security.

However, the IMF stressed that achieving these targets depends on rapid implementation of key reforms, particularly in fuel pricing and governance. Sustained donor support and concessional financing will also be essential to maintain momentum.