Senegal heads to the polls amid fiscal crisis, threat of unrest

By Ngouda Dione and Jessica Donati

DAKAR (Reuters) - Senegal will vote in legislative elections on Sunday that will determine whether the new president and government can gain control over the national assembly and push through their agenda for reforms.

The high stakes in the election are threatening to spark renewed unrest following a period of calm. The run-up to the presidential election in March saw some of the worst violence in the country's recent history.

Campaigning has grown heated in recent days and comes at a precarious time for the new government, which is navigating a spiraling fiscal crisis that could undermine its ability to deliver on promises to boost the economy and create jobs.

Prime Minister Ousmane Sonko, known for his fiery rhetoric, said this week that his supporters had come under attack and urged them to take revenge. He has also warned that restraint should not be mistaken for weakness.

"Let them not say that we've changed and that since we came, everyone can do as they please," he said on Tuesday evening. "We could have used our strength, but we didn't."

Top priorities for Senegalese voters are jobs and the economy, as inflation has squeezed livelihoods and the nation's growing youth population struggle to find employment.

More than 7 million registered voters will have the chance to vote for candidates for the 165 seat-assembly, choosing between 41 registered parties or other entities. Polls open at 8 a.m. (0800 GMT) and close at 6 p.m.

"We want a lower cost of living, affordable water, electricity, and transport, so everyone can work and live decently," said Cheikh Diagne, a street seller in downtown Dakar.

Babacar Ndiaye, research director at the think-tank WATHI, said that Senegalese have historically voted in favour of the president during previous parliamentary elections.

"When they choose a president, they then give that president the means to work and govern," he said. "Every time a president has won, he has in due course also gained an absolute majority in the National Assembly."

The West African country is plunging towards a debt crisis after the new government said it had discovered the budget deficit was much wider than reported by the previous government. A $1.9 billion IMF programme is on hold while the government audit is reviewed.

The main threat to the ruling party Pastef's ambitions is the unexpected alliance of two opposition parties, including the Republic party (APR) headed by the former Prime Minister Macky Sall.

The race also includes two smaller opposition coalitions. The one led by Dakar's mayor, Barthelemy Dias, has clashed with supporters of Pastef.

Mariam Wane Ly, a former parliamentarian and trailblazer for women in politics in Senegal, said the campaign period had given leaders a chance to explain their agendas and she expected Pastef to win the majority it is seeking.

"I think it's going to make up for all the unhappiness," she said.

(Additional reporting by Portia Crowe; Editing by Alex Richardson)