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Senegal
>> Regional Overview >> Senegal Overview
Previous Years' Activities
2002, 2001, 2000, 1999, 1998, 1997
Last updated: 22
THE DEVELOPMENT CHALLENGE: Senegal is the United States' most influential ally in French-speaking sub-Saharan Africa and a bulwark of stability in a region marked by conflict and humanitarian crises. A multiparty democracy, predominantly Muslim but secular, Senegal is a moderating voice in the Islamic and African worlds. Senegal is also one of the few countries in the world to have succeeded thus far in containing the spread of HIV/AIDS (HIV prevalence is estimated at 1.7%). An active participant in regional peacekeeping and conflict resolution efforts, Senegal strongly affirmed the right of the United States to defend itself against terrorism and organized an African initiative against terrorism in October 2001. The President of Senegal co-authored and co-chairs the "New Partnership for Africa's Development" -- a strategy for addressing Africa's development challenges through increased investment and trade, new infrastructure and technology, good governance and conflict resolution. In sum, Senegal is important to U.S. interests as a stable democracy, a key African ally in the fight against terrorism and a proactive opinion leader on the continent.
An estimated 54% of Senegalese families live in poverty, maternal and child mortality rates are high and literacy is low. While Senegal's tolerance, political pluralism, and good human rights record exert a stabilizing influence, widespread rural poverty, urban unemployment, and weak institutional capacity are major challenges confronting the country. With few minerals, limited arable land and a population of more than 9 million, Senegal ranks low on the 2000 United Nations' Human Development Index (145th out of 162 countries). A prolonged, low-intensity conflict in the southern Casamance region continues to inflict severe hardship on the population and to disrupt social and economic development in one of the country's most productive agricultural regions. Reforms adopted in 1995 have brought sustained economic growth, with real gross domestic product (GDP) increasing at more than 5% per year and an inflation rate below 3%. Despite this, real per capita GDP ($550 in 1999) has stagnated since independence in 1960. Senegal's external debt in 2000 was $3.2 billion (78% of GDP); debt rescheduling through the Paris Club limited debt service to 12.3% of exports.
Slow progress in reducing poverty is the result of many factors including:
- Historically low investments in human resources and inadequate social services as manifested by low literacy rates (more than 66% of Senegalese women are illiterate) and high rates of maternal mortality (510 per 100,000 live births) and child mortality (143 per 1,000);
- Rapid population growth (2.7% per year) that puts pressure on the natural resource base and diminishes the impact of economic growth;
- A poor climate for business investment; and
- Insufficient political empowerment and lack of transparency in local government that inhibit grassroots initiatives, limit local governments' ability to make critical investments in economic and social infrastructure and allow conflicts to fester unresolved.
Senegal's development challenge is thus to: (1) create more productive opportunities without overexploiting the natural resource base; (2) improve accessibility and quality of education and primary health care; and (3) deepen democratic values and strengthen democratic processes, particularly at the local level and in the Casamance.
THE USAID PROGRAM:
FY 2002 Estimate: $27.755 million FY 2003 Request: $28.380 million USAID's program targets Senegal's development constraints and challenges. FY 2002 funds will be used to implement programs in private enterprise (including microenterprise and agriculture), democratic local governance (including basic education and local management of natural resources), health (including HIV/AIDS, child survival, maternal health, malaria and tuberculosis), girls' education and conflict resolution in the Casamance as previously described in the FY 2002 Congressional Budget Justification. USAID requests FY 2003 funds for objectives in private enterprise, democratic local governance, and health.
OTHER PROGRAM ELEMENTS: A new PL480 Title II program that both distributes and monetizes U.S. food commodities will be launched in FY 2002 in Senegal and The Gambia to increase food security, promote sesame marketing and contribute to conflict resolution in the Casamance region. The Loan Portfolio Guarantee program is increasing small and medium-sized enterprises' access to credit - to date, a Senegalese commercial bank has made 13 loans valued at $600,000. In the health sector, funds from the Centers for Disease Control's Global AIDS Program strengthen HIV/AIDS surveillance and voluntary counseling and testing services. With USAID central funds, U.S. Private Voluntary Organizations are promoting a gender-balanced approach for reinforcing the political and managerial capacities of youth associations and non-governmental organizations to be catalysts for HIV/AIDS prevention and awareness, implementing child survival activities and expanding microfinance.
USAID is the largest donor in HIV/AIDS and family planning and leads private sector donor coordination. OTHER DONORS: Direct development assistance to Senegal in the form of grants and concessional loans from over 19 multilateral and bilateral donors is estimated at $398 million in 2000. The United States provided $25 million or approximately 6% of external assistance in 2000, ranking it eighth behind France, the World Bank, Japan, the European Union, Taiwan, Germany and the African Development Bank. Despite relatively limited resources, USAID plays a prominent role among donors as a result of its field presence and Senegalese interest in U.S. technology and expertise. The U.S. leads the private sector donors group and coordinates its efforts with other donors in the areas of decentralization, environment, health and education. In 2001, Senegal qualified for approximately $31 million in debt relief under the Heavily Indebted Poor Countries (HIPC) Initiative. Senegal will receive additional debt relief beginning in 2002 if its Poverty Reduction Strategy Paper is approved. The additional resources will be devoted to improving health and education services and promoting private sector development, thus setting the stage for more rapid and sustainable growth.
Program Data Sheets
- 685-001 Sustainable Increases in Private Sector Income-Generating Activities in Selected Sectors
- 685-002 More Effective, Democratic, and Accountable Local Management of Services and Resources in Target Areas
- 685-003 Increased and Sustainable Use of Reproductive Health (Child Survival, Maternal Health, Family Planning, and Sexually Transmitted Infections/AIDS) Services in the Context of Decentralization in Targeted Areas
- 685-008 Increased Girls' Access and Retention in Targeted Primary and Vocational Schools - The Education for Development and Democracy Initiative (EDDI)
- 685-009 Improved Enabling Conditions for Peace via Economic, Social and Political Development
Country Background Information Resources
CIA Factbook
National Geographic Country Maps
State Dept. Country Information
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Last Updated on: May 29, 2002 |
