Gabon has sharply increased its domestic borrowing plans for the first quarter of 2026, raising its public debt issuance target by more than 40%, according to a note published by the regional central bank, the Bank of Central African States (BEAC).
Under the revised issuance calendar, the Gabonese Treasury now plans to raise between CFA291 billion and CFA331 billion (US$480–545 million) on the regional market between January and March 2026. This compares with an initial target range of CFA201 billion to CFA231 billion, representing a potential increase of up to CFA100 billion, or about 43.3 percent.
The adjustment affects all categories of domestic financing, including short-term Treasury bills and longer-dated bonds, reflecting the government’s increased funding needs and improved access to the regional debt market.
For Treasury bills, which are primarily used to manage short-term liquidity, the issuance target has been raised to CFA166 billion from an earlier CFA126 billion. The revised programme also introduces new maturities, including 52-week Treasury bills scheduled for issuance as early as January and February.
On the bond segment, aimed at medium- and long-term financing, the previous ceiling of CFA105 billion has been increased to a range of CFA125 billion to CFA165 billion. Planned bond issuances will span maturities of between two and seven years, with interest rates of up to 7.5% for seven-year bonds.
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BEAC said the additional resources are expected to support government cash management, help meet short-term financial obligations and finance development projects outlined in Gabon’s 2026 budget.
Improved market sentiment
The upward revision comes amid signs of renewed investor confidence in Gabon, following signals from the authorities that they intend to negotiate a new programme with the International Monetary Fund after nearly three years without formal IMF engagement.
The government reiterated its commitment to concluding an IMF-supported programme during an extraordinary summit of Central African Economic and Monetary Community (CEMAC) leaders held on January 22, 2026, in Brazzaville.
Market participants interpreted the announcement as a sign of improved fiscal discipline and policy credibility, prompting a rally in Gabonese sovereign debt. According to market data, the spread on Gabon’s international bonds narrowed by 272 basis points to around 790 basis points, its lowest level in 13 years.
By the end of January, Gabon’s bonds had become the best-performing sovereign debt instruments among emerging markets, reflecting a renewed appetite for the country’s credit risk.
Analysts say the improved sentiment has given the authorities greater room to tap domestic markets at more favourable terms, although risks remain linked to debt sustainability and execution of fiscal reforms.
Gabon, a member of the CEMAC monetary union, has faced persistent fiscal pressures in recent years due to volatile oil revenues, high debt levels and constrained access to external financing. The country has relied increasingly on regional markets to meet its financing needs.
Economists note that while the expanded issuance programme could ease near-term liquidity pressures, successful implementation will depend on continued investor confidence and progress toward securing IMF backing.
The government has said it aims to balance higher borrowing with fiscal consolidation measures and structural reforms to stabilise public finances and support economic growth.
