Senegal bans government travel as Iran war oil shock hits public finances
Sign up now: Get ST's newsletters delivered to your inbox
The war and Iran’s effective closure of the vital Strait of Hormuz have sent the price of benchmark Brent crude soaring.
PHOTO: REUTERS
Follow our live coverage here.
DAKAR – Senegal’s government has suspended all non-essential foreign travel by ministers and top officials, warning of “extremely difficult” times ahead as the US-Israeli conflict with Iran drives global oil prices higher, straining the nation’s budget.
The war and Iran’s effective closure of the vital Strait of Hormuz have roiled global energy markets, sending the price of benchmark Brent crude soaring and pushing governments around the world to take steps to mitigate the negative impacts.
Addressing a youth event in the coastal town of Mbour on the evening of April 3, Senegal’s Prime Minister Ousmane Sonko pointed to oil trading at about US$115 a barrel, nearly twice the US$62 per barrel assumed in Senegal’s budget projections.
“No minister in my government will leave the country unless it is for an essential mission related to the work we are currently undertaking,” he said, announcing that he had already cancelled his own planned trips to Niger, Spain and France.
Governments across the West African region and globally have scrambled to respond to the crisis with measures such as fuel price increases, subsidies and remote work.
Mr Sonko cited such measures as justification for debt-laden Senegal’s own steps.
He said additional measures would be announced next week, with the energy and mines minister expected to address the nation in the coming days to detail efforts to mitigate the impact of the price shock. REUTERS
