This paper presents Mali’s Second Review under the Staff-Monitored Program (SMP). Mali’s economy is rebounding form the setbacks experienced in late 2025, as security tensions have eased and gold production is recovering. Economic activity in 2025 was dampened by lower gold production and fuel supply disruption in the fourth quarter following terrorist attacks. Looking ahead, measures to restore fuel supply and improve security conditions, the repayment of domestic arrears, and the resolution of the mining dispute are expected to support recovery in 2026. Inflation remains below 3 percent, as in 2025. Program implementation under the SMP has been robust. All quantitative and indicative targets in the second review were observed, and there was overperformance on some instances. Maintaining prudent fiscal policy remains essential to safeguard sustainability, as elevated borrowing costs and large development and security needs continue to limit fiscal space. Reform priorities include broadening the tax base, strengthening tax and customs administration, improving public financial management, addressing vulnerabilities in state-owned enterprises, and preserving space for public investment and protection of vulnerable households.