By Kebba AF Touray
Buah Saidy, the Governor of the Central Bank of The Gambia, has said that current accounts deficit widened to US$36.9 million in the first half of 2025 from US$25.1 million in the first half of 2024, whilst the goods accounts deficit also widened to US$488.0 million in the first half of 2025, compared to US$474.4 million in the first half of 2024.
He said, “Total imports of goods increased by 11.3 percent to US$697.7 million, primarily driven by electricity, fuel, construction and food imports.” He also indicated that total export grew to reaching US$209.7 million during the same period.
He indicated that food inflation increased to 8.5 percent in July from 7.9 percent in June 2025, reflecting higher global vegetable oil and meat prices alongside seasonal pressures in perishables. “Non-inflation by contrast slowed steadily to 6.1 percent in July from 6.3 percent in June 2025. The decline was aided by subdued global oil prices, as well as stable domestic transport costs and utility tariffs,” he said.
He added that core inflation, which is measured by stripping out energy and volatile food items from headline inflation, edged up slightly to 5.8 percent in July from 5.3 percent in June. He also stated that domestic price pressure continues to moderate, and headline inflation eased to 7.2 percent in June 2025, “the lowest state since late 2021.”
Gross international reserves, according to Governor Saidy, strengthened, reaching US$502.4 million by end-July 2025, compared to US$486.6 million at end March 2025.
He said that private remittance inflows and public investments also continue to support domestic demand, and the growth outlook for 2025 remains robust.
He said that the committee among other observed that globally, while inflation is easing in advanced economies, disinflation in developing countries continues at slower pace, with risks from volatile commodity markets, geopolitical tensions and climate related disruptions. He cautioned, “These uncertainties call for caution as external shocks could transmit to the domestic economy through food and fuel prices.”
The committee he said has decided to maintain the Monetary Policy Rate (MPR) at 17 percent, Required Reserve (RR) ratio of commercial banks at 13 percent, rate on standing deposit facility at 4 percent, interest rate on the standing lending facility at 18 percent, equivalent to MPR plus 1.0 percentage point.
