World Bank Forecasts Strong GDP Growth for Senegal in 2023

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According to the World Bank, Senegal’s economy will witness sizable growth on the back of first gas production in 2023 and an uptick in mining sector investments. The country’s economic expansion will align with that of the region, as Western and Central African economies are expected to grow by 5% in 2023 and 5.6% in 2024.

Following the completion of Senegal and Mauritania’s Greater Tortue Ahmeyim project – which will produce 2.5 million tons of Liquefied Natural Gas (LNG) per year – Senegal could generate up to $1.4 billion in oil and gas revenues by 2025.

This is significant for the West African nation, as it marks the country’s entry into commercial gas production and five years since the final investment decision was taken by bp for the LNG development. While Senegal’s extractive sector accounts for nearly 40% of total exports, it contributes less than 10% of government revenues – a figure set to change starting this year. 

Sub-Saharan Africa, for its part, is home to substantial volumes of gas, reaching over 220 trillion cubic feet of proven reserves. Gas production in the region has grown by over 10% in the past decade and the most recent hydrocarbon discoveries on the continent have been gaseous. Senegal’s gas debut aligns with continent-wide efforts to monetize reserves for both domestic use and export, supported by the global energy transition, widespread electricity shortages and Africa’s urgent need to industrialize.

In terms of mining activities, Senegal is rich in phosphates, gold, mineral sand, manganese and industrial clay, which already accounts for a significant portion of its export earnings. The most well-established sector to date has been the sourcing of construction materials, including stone bricks, clay, aggregates, gypsum, granite, peat, sand, gravel and rock-salt. Senegal is also a leading producer of phosphates, with an annual production of nearly 2.5 million tons. That said, the country is seeking to attract new investments in gold exploration and iron-ore production, facilitated in part by a more streamlined and transparent mining code adopted in 2016. 

Investment opportunities in gas exploration and monetization, mineral resource extraction and more across both the Senegalese market and wider MSGBC region will be on display at the upcoming MSGBC Oil, Gas & Power Conference & Exhibition, taking place in Mauritania from 21-22 November 2023.

Now in its third edition, MSGBC 2023 is organized by Energy Capital & Power, under the Patronage of H.E Mohamed Ould Cheik Ghazouani, President of the Republic of Mauritania and in partnership with the Ministry of Petroleum, Energy and Mines, the Société Mauritanienne Des Hydrocarbures Et De Patrimoine Minier, Petrosen, Cos Petrogaz and the African Energy Chamber. Representing the region’s premier energy forum, the event serves as a dedicated platform for the country’s gas market potential and transformation into an integrated energy economy.

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MSGBC, OIL, GAS & POWER 2023 CONFERENCE AND EXHIBITION

Under the patronage of of H.E Mohamed Ould Cheik Ghazouani, President of the Republic of Mauritania in partnership with Ministry of Petroleum, Energy and Mines, the Société Mauritanienne Des Hydrocarbures Et De Patrimoine Minier (SMHPM), Petrosen, Cos Petrogaz and the African Energy Chamber, MSGBC Oil, Gas & Power will take place in Nouakchott, Mauritania, with the event serving as a catalyst for investment and multi-sector development in 2023. To find out more visit msgbcoilgasandpower.com or contact sales@energycapitalpower.com.

MSGBC, OIL, GAS & POWER 2023 CONFERENCE AND EXHIBITION

Under the patronage of of H.E Mohamed Ould Cheik Ghazouani, President of the Republic of Mauritania in partnership with Ministry of Petroleum, Energy and Mines, the Société Mauritanienne Des Hydrocarbures Et De Patrimoine Minier (SMHPM), Petrosen, Cos Petrogaz and the African Energy Chamber, MSGBC Oil, Gas & Power will take place in Nouakchott, Mauritania, with the event serving as a catalyst for investment and multi-sector development in 2023. To find out more visit msgbcoilgasandpower.com or contact sales@energycapitalpower.com.

Grace Goodrich

Grace Goodrich

Grace Goodrich is a Publications Editor at Energy Capital & Power, where she writes about the intersection of energy, policy and global finance in sub-Saharan Africa's fastest-growing economies. Grace produces our Africa Energy Series investment reports in Angola and Equatorial Guinea (2019), as well as co-authored African Energy Chamber: Road to Recovery (2021).

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