Central Africa: Gabon Debt Set to Reach 94 Percent of GDP After $920m Eurobond

What the report says

Gabon’s public debt is projected to climb sharply over the next three years, reaching 94.3% of gross domestic product in 2027 from 70.9% in 2024, according to International Monetary Fund staff estimates cited by Daba Finance and distributed by AllAfrica. The IMF projections, based on data available through April 2, also put the debt ratio at 78.9% in 2025 and 86.1% in 2026.

The article says the rise is closely linked to Gabon’s widening budget deficit. Including grants, the deficit is expected to expand from 3.3% of GDP in 2024 to 8.5% in 2025, before rising further in later years. The IMF warned that repeated primary deficits, along with higher interest costs, are adding to the debt burden. The report also places Gabon’s fiscal path in contrast with the broader sub-Saharan African region, where median debt and deficits have been easing.

The piece adds that the IMF’s estimates were made before Gabon revised its 2026 budget, lowered its revenue forecast, and authorized more foreign borrowing. It notes that the country raised $920 million through a seven-year Eurobond with a 9.375% coupon, which provided short-term funding but increased future debt-service obligations. Moody’s is also cited as keeping Gabon’s rating at Caa2 with a negative outlook.

More broadly, the report says Gabon has requested an IMF financing program, which could bring funding alongside policy conditions on revenue, spending, arrears, and debt reporting. The article argues that how the government manages oil revenue, borrowing, and budget cuts will be important for whether debt pressures continue to build.