• IMF approves $122.7 million for Burkina Faso under new climate-linked RSF

• Program supports reforms, boosts climate resilience, and improves transparency

• Additional $32.7 million possible under ongoing Extended Credit Facility review

Burkina Faso will receive about $122.7 million in IMF financing under a new Resilience and Sustainability Facility (RSF) arrangement, the Fund said on Thursday.

 The 18-month program is meant to support the country’s reform agenda, strengthen macroeconomic resilience and shore up external stability as climate risks intensify. It also aims to expand access to clean energy and water, and to attract climate financing by improving the publication of climate-risk data and increasing investment transparency.

“The focus is on reform measures with significantly positive effects on public finances, the balance of payments, and transparency,” IMF mission chief Jaroslaw Wieczorek said.

Climate Change Weighs on Growth

Climate change is putting increasing pressure on Burkina Faso’s economy, particularly agriculture and food security. To respond, the government has adopted a 2024-2028 National Adaptation Plan that prioritizes agricultural resilience, water management, and financial partnerships. The country aims to cut greenhouse-gas emissions by 16% in 2025, 29% in 2030, and 34% in 2050.

In addition to the RSF support, Burkina Faso could receive a further $32.7 million from the IMF once the fourth review of its Extended Credit Facility (ECF) program is completed. That would bring total disbursements under the 48-month arrangement, approved in September 2023, to $130.8 million.

IMF projections show Burkina Faso’s economy growing by 5% in 2025 and remaining strong in 2026, supported by higher gold prices and ongoing structural reforms.

Ingrid Haffiny