2026 Report highlights weak disclosure of budgets, debt and state-company finances, issues that could weigh on investment and public accountability
By Kemi Osukoya | BUSINESS & ECONOMY
The U.S. State Department’s 2026 Fiscal Transparency Report found that only 16 African countries—including Botswana, Cabo Verde, Côte d’Ivoire, Ghana, Namibia, Rwanda and South Africa—met the minimum transparency benchmark, out of 139 countries assessed globally.
Eight African countries, including Ethiopia and Liberia, made significant progress from last year. But 27 countries across the continent—including major economies such as Angola, the Democratic Republic of Congo, Egypt, and Nigeria—were identified, along with Sudan, South Sudan, Madagascar, Guinea-Bissau, and the Central African Republic, as among those facing the most serious transparency challenges.
The report, released Tuesday, cited shortcomings in budget disclosure, public debt reporting, and oversight of state-owned enterprises and natural resources, raising fresh concerns over fiscal transparency in several African countries.
Though not a formal ranking from rating agencies like Fitch Ratings, Moody’s or S&P Global ratings, the report findings help create competitive business conditions for American companies abroad by improving public financial disclosure to reduce risk of corruption and unfair practices and promote stronger industry standards for market access as well as can carry weight for governments seeking foreign investment and development financing, particularly as investors focus more closely on debt sustainability, procurement practices and the quality of public institutions.
The State Department said many governments still need to publish basic budget documents, disclose debt obligations, strengthen public audits and make procurement and extractive-sector contracts accessible.
Sudan and South Sudan stood out because of the scale of their shortcomings. Sudan, reviewed during its continuing armed conflict, did not publish an executive budget proposal, enacted budget, or year-end report, according to the State Department. Authorities also failed to disclose debt information or provide adequate transparency around military spending and civilian or parliamentary oversight.
In South Sudan, the transitional government did not release key budget documents or fully disclose its debt obligations, including liabilities linked to the national oil company, Nile Petroleum. The report also pointed to loans collateralized against future oil sales, saying limited disclosure constrained public accountability for oil revenues.
Madagascar was cited for failing to publish an executive budget proposal, a year-end report, and timely debt information. Its published documents, also did not offer a complete picture of public revenue and spending, while significant off-budget accounts remained beyond public scrutiny, according to the report assessment.
Egypt, a close U.S. partner in Africa and the Middle East, faced a different set of weaknesses. While it published its enacted budget, it did not release an executive proposal or year-end report within a reasonable period, the report said. The North African country was also cited for incomplete disclosure on state-owned enterprises, off-budget accounts, military and intelligence spending, and its sovereign wealth fund.
Angola received credit for publishing its executive budget proposal, enacted budget and year-end report on time, as well as detailed information on state-owned enterprises. But the State Department noted sizable off-budget accounts were not adequately audited or overseen, as well as the country’s audit institution lacked full independence. It urged Luanda to make public-procurement contract information more accessible.
The DRC, which was among the stronger performers, was also credited with publishing its executive budget proposal and enacted budget on time, disclosing information on state-owned enterprises and procurement, and conducting in-year budget reviews. However, the report urged Kinshasa to publish its year-end report, improve oversight of military and intelligence budgets, and provide fuller information on its sovereign wealth fund.
Nigeria, Africa’s most populous country and largest economy, was commended for publishing its enacted budget and year-end report. Yet the Department said Abuja did not publish its executive budget proposal on time, while actual revenue and expenditure did not reasonably match the enacted budget. Procurement information was also not readily accessible.
The department recommended that Nigeria publish a complete executive budget proposal, improve its accounting of revenue and expenditure, reinforce the independence of its supreme audit institution and disclose public-procurement contracts.
The consequences of the report extend beyond government accounting. Opaque budgets, debt obligations and procurement contracts make it harder for citizens to assess whether money intended for hospitals, schools, roads and social-protection program reaches its destination. They can also weaken investor confidence, raise borrowing costs and limit the funds available for jobs and public services.
At the stronger end of the review, Zambia, Comoros, Senegal, Togo, and Malawi joined Liberia in recording narrower gaps.
Zambia was recognized for making core budget documents, debt information and state-enterprise data public, while maintaining an independent audit institution. But its main outstanding recommendation was to apply rules governing natural-resource licenses more consistently.
Comoros had one of the shortest lists of recommended reforms: publishing its executive budget proposal online within a reasonable period.
Senegal—which in recent months has dealt with providing inaccurate data to the IMF, was commended for publishing core budget documents, maintaining independent audits and disclosing procurement and natural-resource award information. The remaining gaps concerned disclosure of allocations, earnings and debt obligations at major state-owned enterprises.
*This article has been updated with additional information
