The World Bank Group has released two major reports examining The Gambia’s economic performance, fiscal outlook, and development priorities. The reports emphasize that strengthening public finances and increasing women’s participation in the economy are critical to sustaining economic growth, creating jobs, and improving living standards for the country’s rapidly growing population. Together, the studies provide a roadmap for promoting inclusive development while enhancing fiscal resilience.
The reports indicate that The Gambia’s economy continued to perform strongly in recent years. Economic growth increased from 5.6 percent in 2024 to an estimated 5.9 percent in 2025, supported by positive developments across agriculture, industry, and services. Tourism remained an important driver of growth, with visitor arrivals continuing to rise. In addition, remittance inflows and easing inflation helped strengthen household incomes and contributed to improving economic conditions for many families.
Economic expansion has also contributed to poverty reduction. The extreme poverty rate declined from 21.5 percent to 20.3 percent, reflecting gradual improvements in living standards. However, the reports stress that economic growth has not yet generated enough quality employment opportunities. A large majority of workers remain employed in the informal sector, while a significant proportion of young people are neither working, studying, nor participating in training programs. This highlights a major challenge in translating economic growth into broad-based employment and economic opportunities.
