Burkina Faso

This report does not constitute a rating action. Overview Institutional and economic profile Flexibility and performance profile S&P Global Ratings expects institutional challenges in Burkina Faso to persist. We expect twin deficits to narrow over 2025-2028. -- Security threats and political volatility pose major risks to economic growth prospects. --Rising gold prices and expanding mining output will support the current account through 2028. --GDP growth will average 4.6% in 2025-2028, provided climate and security conditions are supportive. --An IMF program provides an important policy anchor and eases funding constraints. --GDP per capita is very low, estimated at $1,055 in 2025. --Membership of the West African Economic and Monetary Union (WAEMU) allows access to regional capital markets, given the country's limited

...Burkina Faso is navigating persistent political and security volatility. We expect Burkina Faso to continue strengthening ties within the military-led Alliance of Sahel States (AES), which consists of Mali, Niger, and Burkina Faso, all of which are run by military-led governments. The AES' exit from ECOWAS in January 2025 highlights ongoing regional tensions but should have a reasonably limited impact on Burkina Faso's economy, which relies primarily on WAEMU for its economic framework. We expect Burkina Faso to maintain its WAEMU membership, thereby benefiting from the Union's capital market access, price stability, and foreign exchange reserve...

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