Home | News    Thursday 17 April 2014

Sudan to push Paris Club for debt relief: minister

separation
increase
decrease
separation
separation

April 16, 2013 (KHARTOUM) – The Sudanese minister of finance Badr Al-Deen Mahmood reiterated that his country has completed all technical prerequisites of debt cancellation especially in relation to the short-term program, which was agreed upon with the International Monetary Fund (IMF) as one of the requirements.

Mahmood, who made the statements after returning from Washington where he participated in a technical committee meeting on Sudan’s debt, also revealed that they received "mezzanine financing" that was earmarked for three countries including Sudan, Zimbabwe and Somalia.

This form of financing will be used to reduce outstanding commercial loans, the minister added. He also underscored the need for reaching out to creditors in the coming period, particularly Paris Club in order to start practical steps for debt relief.

He said that during those meetings they reviewed a strategy paper on poverty eradication projects by providing basic services including education, health and projects to support poor families along with other social projects.

Mahmood also mentioned that he held numerous meetings on the sidelines of the spring meetings of the IMF and the World Bank Group (WBG) including officials from the US treasury.

Last year, the IMF said that Sudan’s debt will hit $44.7 billion in 2013 which amounts to 87.6% of its Gross Domestic Product (GDP). It urged Sudan at the time to work with South Sudan on the issue of debt that existed under the pre-secession Sudan, which has currently been inherited by Khartoum.

"In light of Sudan’s large stock of overdue external debt obligations, the government should work closely with South Sudan as part of the recently signed comprehensive agreement on reaching out to creditors to elicit their support for comprehensive debt relief, given the approaching deadline of the ‘zero option’ for debt apportionment," the IMF said last year.

Sudan and South Sudan agreed to work jointly on seeking debt relief from international creditors. If these efforts are unsuccessful the ex-foes will sit down again to decide on how to split the debt.

Around three quarters of Sudan’s external debt are owed to the Paris Club of creditor nations and other non-member states. The remaining balance is equally divided between commercial banks as well as international and regional financial bodies.

A year ago, an IMF official said that it will be near impossible for Sudan to secure debt relief even if it satisfied technical and economic requirements.

"I’m not saying this is impossible but it is difficult because it is linked to political issues which requires a public relations effort with member countries” IMF deputy director of the Middle East and Central Asia department Edward Gemayel said during a visit to Khartoum.

He pointed out that any debt relief deal with Sudan would require the unanimous consent of all 55 countries in Paris Club which he suggested would be improbable.

(ST)

Comments on the Sudan Tribune website must abide by the following rules. Contravention of these rules will lead to the user losing their Sudan Tribune account with immediate effect.

- No inciting violence
- No inappropriate or offensive language
- No racism, tribalism or sectarianism
- No inappropriate or derogatory remarks
- No deviation from the topic of the article
- No advertising, spamming or links
- No incomprehensible comments

Due to the unprecedented amount of racist and offensive language on the site, Sudan Tribune tries to vet all comments on the site.

There is now also a limit of 400 words per comment. If you want to express yourself in more detail than this allows, please e-mail your comment as an article to comment@sudantribune.com

Kind regards,

The Sudan Tribune editorial team.

Comment on this article



The following ads are provided by Google. SudanTribune has no authority on it.



Sudan Tribune

Promote your Page too

Latest Comments & Analysis


Ethiopia’s Renaissance Dam: A last chance for diplomacy 2020-06-01 18:14:13 Is the GERD turning from an opportunity for cooperation into a cause for antagonism? by Yaseen Mohmad Abdalla And edited by Peter Riddell The dispute between Egypt and Sudan on the one side, (...)

Smear campaign against head of national security 2020-05-31 18:05:31 By Machar Mayuen This statement serves to condemn all the smears campaigns labelled against the Director-General of National Security Service (NSS) General Akol Koor Kuc by anti-peace elements (...)

Sudan’s legitimate request for UN assistance: the opponents and their interior motives (1-3) 2020-05-30 22:57:09 By: Trayo A. Ali Political bodies opposing the proposed UN support mission to Sudan are the Popular Congress Party (NCP), Law and Development Party (led by the well-known supporter of ISIS Dr (...)


MORE






Latest Press Releases


S. Korea supports UN communities building resilience project in Sudan’s Blue Nile 2019-09-09 09:26:41 UNDP Sudan September 5, 2019 (KHARTOUM) - An agreement was signed on 5th of September between the Korean Ambassador, His Excellency. Lee Ki-Seong and Dr. Selva Ramachandran, Resident (...)

Sudanese lawyers and Human rights defenders back calls for civil rule 2019-04-26 10:22:06 Press statement by 55 Sudanese lawyers and Human rights defenders on Sudan Sit-in and Peaceful Protest Khartoum -24/04/2019 We, the undersigned (55) Sudanese lawyers and human rights defenders, (...)

South Sudan’s Lafon youth condemn killings of civilians by Pari community 2019-04-03 21:54:29 Press Statement on the Fighting between Pari/ Pacidi and Lotuko/Lokiri on 24/3/2019 Release by The Lafon County Youth Union: We, the Lafon County Youth Union hereby condemn the atrocities and (...)


MORE

Copyright © 2003-2020 SudanTribune - All rights reserved.