Katarina Hoije

Senegal President Bassirou Diomaye Faye’s abrupt dismissal of Prime Minister Ousmane Sonko risks throwing the government’s stalled talks with the International Monetary Fund into deeper disarray.

Senegalese President Bassirou Diomaye Faye named a veteran economist and former central banker as his new prime minister, shoring up his economic team ahead of the restart of talks with the International Monetary Fund on a new funding program.

Senegal’s parliament reinstated Ousmane Sonko as a lawmaker on Tuesday, paving the way for his likely election as speaker of the National Assembly days after President Bassirou Diomaye Faye abruptly dismissed him as prime minister in a split that has fractured the ruling coalition.

Senegal now faces an uncertain political path.

Senegalese President Bassirou Diomaye Faye appointed a new cabinet that his estranged ally Ousmane Sonko vowed to boycott, deepening a political rift in the West African country as it navigates a debt crisis.

Senegal made payments to bondholders ahead of schedule on two of its foreign-currency notes as the West African nation prepares to host the International Monetary Fund for talks on a new program later this month, according to people familiar with the matter.

Ousmane Sonko was reelected president of Senegal’s majority Pastef party on Saturday, cementing his position as the dominant figure within the country’s governing movement at a time of escalating tensions with rival President Bassirou Diomaye Faye.

Senegal’s National Assembly will assess any solutions for the country’s debt challenges, including a possible restructure of billions of dollars in loans, on whether they advance a broader economic-transformation agenda, Speaker Ousmane Sonko said.

Equatorial Guinea has ordered a review of more than 50 state companies and agencies, broadening a government crackdown on waste after the cabinet resigned after failing to meet performance targets.

Senegal is open to discussing a debt restructuring as mounting payment pressures threaten to strain key sectors of the economy, according to a senior member of President Bassirou Diomaye Faye’s cabinet.