Gabon to Borrow $2.01 Billion Abroad in 2027 as Debt Costs Climb

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Gabon's government plans to raise 1.144 trillion CFA francs ($2.01 billion) from international markets in 2027, under a draft budget that bets on faster economic growth and a rebound in oil output even as debt service and repayments rise sharply.

The draft finance bill was adopted by cabinet and is subject to parliamentary approval. It puts total state resources and expenditure at 6.223 trillion CFA francs, up 727.9 billion CFA francs from the revised 2026 budget, according to a statement by the Economy and Finance Ministry published over the weekend.

Where the Money Will Come From

Besides the $2.01 billion from international markets, the 2027 funding plan includes 600 billion CFA francs raised from domestic or regional markets and 300 billion CFA francs in bank borrowing.

The government also expects 600 billion CFA francs in budget support and 287.3 billion CFA francs in project finance.

Together, the borrowing and support lines account for roughly half of the 6.223 trillion CFA franc budget envelope.

Growth and Output Assumptions

Economic growth is forecast at 4.5% in 2027, compared with 4.0% in 2026.

Oil production is expected to rise 4.1% to 11.30 million metric tons, from 10.80 million tons in 2026. The budget assumes an average Gabonese crude price of $70 a barrel in 2027, down from $80 in 2026.

Manganese output is projected to increase 8.6% to 10.35 million tons, while the assumed price rises 45% to $241.9 a ton.

Iron ore production is expected to begin in 2027, with output projected at 1.5 million tons.

Debt Service Jumps

Debt servicing costs are projected at 667.3 billion CFA francs in 2027, up from 487.6 billion CFA francs in the revised 2026 budget.

Debt amortisation is budgeted at 1.880 trillion CFA francs in 2027. The government also plans to clear 142.9 billion CFA francs in arrears.

The gap between rising repayment obligations and the assumed oil price cut is the central tension in the draft. Gabon is pencilling in lower crude receipts per barrel while carrying a heavier debt load, which means the projected output increase and the new iron ore line have to deliver.

The plan will now go to parliament, where the spending and borrowing figures can still be changed.

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