Standard & Poor’s (S&P) recently reaffirmed Chad’s sovereign credit rating at ‘B-’ with a stable outlook, validating the country’s economic trajectory under the ‘Chad Connexion 2030’ National Development Plan. The Ministry of Finance emphasized that this decision reflects growing confidence in Chad’s economic resilience, driven by robust growth, controlled public debt, and strong support from international partners.
Growth revised upward: from 3.6% to 5.2%
Chad’s economic rebound, which began in 2023, has gained momentum thanks to rising hydrocarbon prices and a recovery in the services sector. In 2025, real GDP growth is projected at 5%, exceeding S&P’s December 2024 forecast of 3.6% for the 2024–2027 period.
The International Monetary Fund (IMF) also upgraded its growth outlook for Chad to 5.2% in December 2024, underscoring the economy’s resilience. While the oil sector remains a key driver—accounting for a significant share of exports and public revenue—agriculture and services are boosting domestic demand. Improved agricultural output and a rebound in non-oil sectors have contributed to a more diversified growth pattern.
Public debt under control
Chad has made significant strides in managing its public debt, reducing vulnerabilities that once posed risks. The debt-to-GDP ratio is now estimated at around 36%, a moderate level compared to peers. In 2022, Chad became the first country globally to use the G20 Common Framework for restructuring its external debt, which now accounts for only half of total debt and is largely concessional.
This restructuring has restored financial flexibility, enhanced debt sustainability, and improved investor confidence. The government continues to pursue prudent fiscal policies, balancing debt sustainability with investments in infrastructure and social programs outlined in the ‘Chad Connexion 2030’ plan.
Boosting domestic revenue collection
Chad has achieved notable progress in mobilizing domestic revenue—a critical pillar of its ongoing economic reforms. The tax-to-GDP ratio rose from 9.8% in 2022 to 13.1% in 2023, according to OECD data, reflecting efforts to expand the tax base and improve tax administration.
In 2025, non-oil revenues surpassed projections, supported by strong growth in non-hydrocarbon sectors and measures implemented under the IMF program approved in July 2024 (valued at $625.3 million). Digitalization of public finances and enhanced governance have further improved collection efficiency.
The Ministry of Finance stated, “This rating confirmation strengthens Chad’s financial credibility, making it more attractive to private investors and reinforcing confidence among international partners in our reform agenda.”
Expanding opportunities with ‘Chad Connexion 2030’
While S&P’s stable rating reflects progress across key economic indicators, challenges remain—particularly in economic diversification, revenue mobilization, and maintaining sustainable debt levels. These priorities are central to the ‘Chad Connexion 2030’ National Development Plan, adopted in May 2025 after the country’s political transition.
The transition, which followed the passing of President Idriss Déby Itno in April 2021, culminated in the election of President Mahamat Idriss Déby Itno in May 2024, the adoption of a new Constitution, and a national reconciliation dialogue.
With a $20.5 billion funding package secured in Abu Dhabi in November 2025, Chad is poised to transform its economy. The plan, structured around 268 cross-cutting projects, aims to lift 2.6 million people out of poverty by 2030 through an 8% annual growth target, which would expand GDP by 60% over the same period.
The plan is organized into four strategic pillars:
- Accelerating infrastructure development: energy, water, transport, and telecommunications.
- Strengthening social policies: education, health, vocational training, youth employment, and social inclusion.
- Diversifying the economy: expanding export-oriented sectors in agriculture, livestock, fishing, hydrocarbons, mining, and tourism, with a focus on local value addition.
- Improving the business environment: simplifying administrative procedures to attract investment.
