The Gambia’s debt payments are expected to rise to D16.17 billion in 2027, up from D13.46 billion in the 2026 budget. That is an increase of D2.71 billion, or about 20 per cent, according to the government’s latest budget estimates.
The amount is equivalent to roughly 43 per cent of the D37.39 billion the government expects to collect in domestic revenue next year, highlighting the pressure debt obligations place on public finances.
Interest payments account for much of the increase. The government expects to spend D9.07 billion on interest in 2027, compared with D6.90 billion in 2026, a rise of 31.5 per cent.
Domestic debt is expected to account for most of the interest bill. Payments on domestic borrowing are projected to reach D7.69 billion, up 34 per cent. Interest on Treasury bills alone is forecast to rise by 51 per cent to D3.96 billion, while payments on government bonds are expected to increase by 20 per cent to D3.70 billion.
Interest on external debt is also set to rise, reaching D1.38 billion, an increase of 19 per cent.
The government must also repay the principal on loans as they fall due. These repayments are projected at D7.10 billion in 2027, up 8.3 per cent. Of that amount, D5.38 billion will go towards external debt, while domestic repayments are expected to total D1.72 billion.
The domestic figure includes D1.15 billion linked to the 2021 Extended Credit Facility, compared with D728 million in 2026.
The loans serviced have helped fund major infrastructure projects across the country including National Assembly building, Brikama II power station and Bertil Harding Highway, as well as investments in roads, airports, universities and water systems.
The government will have to make debt payments that will absorb a large part of the expected domestic revenue and use the rest to provide public services and development projects. The figures point to the difficult choices facing the authorities as they prepare the 2027 spending plan.
