The Gambia faces rising debt service costs in 2027

The Gambia is projected to face a significant increase in debt servicing obligations, reaching D16.17 billion in 2027. This represents a 20.2 percent rise from the D13.46 billion allocated for 2026. Finance and Economic Affairs Minister Seedy Keita presented these estimates to the National Assembly, noting that debt obligations are expected to become the government’s largest single expenditure, consuming approximately 43 percent of projected domestic revenue.

The surge is primarily driven by rising interest costs on domestic debt, which are projected to climb by 34 percent. Specifically, interest on Treasury bills is expected to increase by 51 percent, while interest on government bonds is projected to rise by 20 percent. Interest payments on external debt are also expected to grow by 19 percent.

To manage these fiscal pressures, Minister Keita stated the government intends to adhere to a concessional borrowing plan and implement strict expenditure controls. The debt repayment schedule includes obligations for various infrastructure and development projects, such as roads, power plants, airports, and water systems.