Business Climate: How Bassirou Diomaye Faye and Ousmane Sonko Drive Away Investors

Moody's downgraded Senegal's sovereign rating from Caa1 to Caa2, citing political instability as a factor undermining creditor confidence. Tensions between the Executive and the National Assembly, exacerbated by the dismissal of Ousmane Sonko, increase the risks of delays in necessary budgetary measures. The agency highlights that social pressures and security risks limit the authorities' ability to implement sustainable budget adjustments.