Chad

This paper presents Chad’s Request for a Four-Year Arrangement Under the Extended Credit Facility. The 48-month financing package will support the objectives of the authorities’ National Development Plan 2025-2030 by ensuring fiscal sustainability, creating fiscal space for key development projects, increasing targeted social spending, and improving governance and the business climate. It will also help meet Chad’s balance of payment needs at a time of acute financing pressures. Chad faces formidable challenges stemming from humanitarian, climate, and security shocks, compounded by volatile oil prices and declining official development assistance. These factors have heightened balance-of-payment needs, strained public finances, and intensified social and humanitarian pressures, particularly with the unprecedented influx of refugees from Sudan. Reforms to enhance social inclusion and governance are essential to foster stronger and more balanced economic growth. In this respect, the authorities’ plans to expand biometric identification, and the unified social registry are critical to deliver effective social protection. Governance reforms, notably in the oil sector, are needed to enhance transparency and accountability.