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PRESS RELEASEJune 21, 2024

The World Bank Boosts Its Support for Local Governments and Climate Resilience in Senegal

WASHINGTON, June 21st, 2024 - The World Bank has approved an additional $110 million in Program for Results financing for the Municipal and Agglomeration Support Program (PACASEN) in Senegal. This additional financing will scale up efforts to local governments and improve their management of public investments.

In addition to $50 million from the International Development Association, this additional financing includes contributions from several partners, including $33 million from the French Development Agency, and $27 million from the Government of Senegal. This will enable the program to continue its support in key intervention areas, such as fiscal reforms and local government transparency, accountability, and performance-based financing. The additional financing also adds climate resilience into Senegal’s regulatory framework for local government investments, their annual performance evaluation, and capacity building.

‘‘PACASEN has strengthened Senegal’s country systems by supporting decentralization. It doubled state transfers to all 601 local government from 2018 to 2024 and improved the performance of 124 beneficiary local governments in investment planning, fiduciary management, safeguards, and citizen engagement. We are confident that this additional funding will build on these advances by promoting a regulatory framework to address climate change at the local level and guiding local governments in implementing Senegal's climate policies,” said Keiko Miwa, World Bank Country Director for Cabo Verde, The Gambia, Guinea-Bissau, Mauritania, and Senegal.

The additional financing aligns with the World Bank and the Senegalese government's strategic priorities in the urban sector, effectively tackling challenges of future financing of climate-resilient investments of local governments, further incentivizing them to play their part in climate action and providing them with the capacities to do so.

PACASEN is in its sixth year of implementation and is in its fourth cycle of transfers within Senegal's budgetary system. This two-year additional financing expands the PACASEN time horizon until December 2026 and augments its original envelope of $260 million to a total of $370 million.



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