Mauritania

Inflation accelerated sharply in 2026, driven by higher food, fuel, and transport costs. While poverty continued to decline in 2025, rising prices and weak agricultural growth are projected to reverse part of these gains in 2026, pushing poverty to 24.1%. Climate-related shocks, including the risk of El Niño-induced droughts and flooding, continue to threaten rural livelihoods and food security.

Stronger extractive exports continue to support external balances and foreign exchange reserves. Nevertheless, the current account deficit is projected to widen in 2026, reflecting higher food and fuel import costs. Fiscal performance is expected to remain strong, supported by robust extractive and tax revenues, while the non-extractive primary deficit is projected to exceed the 3.5% of GDP target due to higher subsidies and social spending aimed at cushioning the impact of rising food and energy prices. Mauritania remains at moderate risk of debt distress.

Over the medium term, growth is expected to stabilize at around 4.5-4.8%, supported by GTA gas production, continued public investment, and a stronger external position. Risks remain tilted to the downside and include weaker extractive production, commodity price volatility, heightened regional insecurity, and climate-related shocks, including El Niño-related droughts and flooding, which could slow poverty reduction and weigh on economic activity.

The Development of Energy Resources and Mining Sector Support Project (DREAM Phase 1) is a $82.5 million IDA-financed operation supporting transition toward a low-carbon, resource-driven growth model. Approved in 2025 and running through 2030, the project aims to enable large-scale investments in green hydrogen and mineral resources while strengthening the reliability and renewable energy integration of the national power system. Anchored in Mauritania’s participation in the M300 initiative, the project combines institutional reforms, capacity building, and strategic infrastructure investments to address key sector constraints.

The Social Safety Net System Project II supports the Government’s social protection strategy aimed at protecting poor and vulnerable households and strengthening the efficiency, transparency, and inclusiveness of social programs. One of its core instruments, the Social Registry (RS), plays a central role in identifying potential beneficiaries and ensuring effective targeting of vulnerable populations. The National Social Registry has achieved nationwide coverage, encompassing comprehensive data on 353,272. households. The Tekavoul social transfer program covers 133,510 extremely poor households, with 56,581 financed by the project and 76,929 by the government budget. Additionally, the government shock responsive programs plan covered 15,079 households during the 2025 lean season, including 10,494 households through Tekavoul and 4,585 households through Elmaouna.

The new Country Partnership Framework between the World Bank Group and the Islamic Republic of Mauritania discussed by the Board on November 25, 2025, is centered on Economic Diversification for Growth and Employment (EDGE). It prioritizes four interrelated outcomes: more and better jobs, strengthened institutions and improved governance, connected communities, and resilient populations; jointly operationalized across the WBG. It underscores private-sector–driven job creation, stronger governance, expanded digital and physical infrastructure, and climate-smart systems. The strategy aims to shift the country away from extractives dependence toward inclusive and resilient growth by investing in skills development, supporting SMEs, improving access to services, and reducing fragility risks.

As of September 15, 2026, the World Bank's portfolio in Mauritania consists of 20 operations, covering 12 sectors with total commitments of $1.19 billion for 10 national projects (or $544.8 million) and 10 regional projects (or $650 million).

Mauritania Country Partnership Framework (CPF) FY26-FY30

As of September 30, 2026, IFC’s committed portfolio in Mauritania stands at $47.5 million. Of this total, $32.5 million is invested in financial markets, representing the largest share of the portfolio and supporting access to finance and financial-sector development. A further $15 million is committed to the services sector, reflecting IFC’s engagement in activities that strengthen private-sector participation and service delivery.

MIGA is actively exploring opportunities to deploy the full suite of the WBG Guarantee Platform’s instruments to mobilize private investment in Mauritania. MIGA will focus on supporting the transition to a cleaner and more reliable energy mix by offering political risk insurance and other risk-mitigation solutions in renewable energy and gas-to-power. It will seek additional areas of engagement in the iron ore mining, hospitality, and transport sectors.