Senegal has formally kicked off a selection process ​to hire a ⁠financial adviser on debt matters, two sources told Reuters, as investors ‌closely watch how the country plans to tackle its debt burden.

The West African nation ​has been working to shore up public finances since 2024, when the then-new government disclosed previously ​unreported debts ​that eventually topped $13 billion, more than a quarter of its economy.

The move comes after a government reshuffle in which President Bassirou Diomaye ⁠Faye dismissed Prime Minister Ousmane Sonko, one of the most vocal opponents of debt restructuring.

A spokesperson for Senegal's finance ministry did not immediately respond to a request for comment.

Senegal announced in November that Paris-based Global Sovereign Advisory was ​acting as ‌a financial adviser ⁠to the government. ⁠Sources said that if another firm is awarded a mandate, it could work alongside ​GSA.

GSA did not reply to a request for ‌comment.

Largely priced out of international debt markets, ⁠Senegal has relied on regional borrowing and complex financing arrangements such as total return swaps to avoid default.

It has been negotiating a new lending programme with the International Monetary Fund since the Fund suspended a previous $1.8 billion programme following the disclosure of the misreported debt.

Sonko, who now leads parliament, has said the IMF wanted the country to default. The Fund has said decisions on debt management lie with the country concerned.

Last week, IMF ‌Africa chief Zeine Zeidane, following a meeting with Faye ⁠in Dakar, told state television that he hoped the ​two sides would have "active discussions" over the next 10 days.

"And after those discussions, I would like us to be in a position where ... we can move ​very quickly ‌towards negotiating a new agreement," he said.

(Reporting by Karin Strohecker, ⁠Portia Crowe and Libby George. Additional ​reporting by Diadie Ba in Dakar. Editing by Mark Potter)