On Saturday, Nigerien officials announced a 40% budget cut on country spending. This is due to the international sanctions imposed on Niger following the military coup that took over power in July. The initial financial plan included 3.29 trillion CFA francs-equivalent to $5.3 billion-in government spending. With this 40% cut, that number has decreased to 1.98 trillion CFA francs-about $3.18 billion.
The Presidential Guard staged the coup d’etat, which overthrew the elected President Mohamed Bazoum. The military junta opposed the persisting cooperation between President Bazoum and French officials. France originally colonized the country and has since maintained a pattern of exploitation in the Sahel region.
This military takeover is the latest in a string of coups in African countries that were once colonized by the French-including Niger’s neighbors, Burkina Faso and Mali. These militaries have also seeked partnerships with private Russian military organization, the Wagner Group.
Since the coup, the junta has established a “transitional government” and appointed Ali Mahaman Lamine Zeine as Prime Minister in August. Even though the military coup has seemingly received popular support from Nigerien locals who are tired of the ongoing story of colonialism, many international leaders have denounced this coup with hopes that Bazoum can be restored to his position. The Economic Community of West African States (ECOWAS), European Union and United States have all imposed sanctions on Niger while Bazoum remains confined to his home.
The Reuters article, “What sanctions have been imposed on Niger since the coup?” states that for the year, “around 342.44 billion francs [were] expected to come from external budget support and loans.”
“Another 978.47 billion francs [were] supposed to come from project grants and loans from external partners,” the article continued. “In total, more than $2.2 billion, or around 40% of its budget, was expected to [come] from external partners.”
This 40% budget cut is most likely the junta’s response to the lack of international support the country has received since the coup. Niger is one of the world’s largest producers of uranium and also has gold, coal, iron, petroleum and more as natural resources. The West African nation is also one of the poorest countries in the world and faces challenges with radical terrorist groups taking over regions of the country.
ECOWAS blocked economic support in Niger by many harsh embargos that include cutting off imports and exports to and from the country through other West African nations, freezing assets and halting financial support. Niger’s power supply was also cut. The EU, European nations and World Bank have paused sending any type of financial assistance to the country.
On Saturday, NBC News reported that the Biden administration may be getting close to officially designating the military takeover in Niger as a coup. This could cause a withdrawal of counterterrorism efforts by the U.S. in Niger. The U.S. has already stopped sending financial support to the country in the meantime.
Prime Minister Ali Mahaman Lamine Zeine has announced an austerity program with government spending that would prioritize national security and providing salaries to civil servants. As a country that has historically relied on financial support from outside the nation, Niger now plans to depend upon internal resources and is also seeking out new allies.
In August, it was reported that 16 NGOs signed a press release warning that these sanctions will cause further destruction to the humanitarian needs Nigerien people face.
“In Niger, a country already affected by multiple crises, humanitarian NGOs are warning that further instability could strongly deteriorate the living conditions of the most vulnerable, including women and children who are often the most vulnerable during times of crisis, and hamper the humanitarian response,” the press release stated. “The combination of sanctions and conflict with the existing vulnerabilities in Niger could have devastating effects on the lives of over 4.4 million people in the country who are already in need of humanitarian assistance.”
