Despite emerging as one of the fastest-growing economies in Sub-Saharan Africa over the past decade due to enhanced international competitiveness and favorable external conditions, Senegal has seen limited progress towards achieving inclusive growth, with economic performance characterized by a slow pace of poverty reduction and persistent inequalities. Rising uncertainty, overlapping crises, and exposure to climate risks accentuate existing vulnerabilities and threaten sustainable social and economic development. Senegal’s exposure to external shocks has revealed persistent underlying constraints to achieving productive, sustainable, and inclusive growth. The country's coastal exposure and reliance on natural resources for economic activities, jobs, and livelihoods - due to the slow structural transformation of its economy - make it particularly vulnerable to climate change. This Country Climate and Development Report (CCDR) recommends several measures to accelerate climate action and development across natural, built, and human capitals and facilitate the energy transition. The financing requirements for climate action, as evaluated in the CCDR, are relatively small compared to Senegal’s economy and are expected to bring significant long-term benefits beyond climate adaptation and mitigation.