Home | News    Saturday 17 July 2021

Paris Club sovereign creditors write off $14 bln from Sudan’s debt

separation
increase
decrease
separation
separation

July 16, 2021 (PARIS) - The Paris Club of wealthy creditor countries has cancelled over $14 billion owed by Sudan in an effort to support the severe economic reforms engaged by the east African nation under the Highly Indebted Poor Countries (HIPC) initiative.

In a statement issued on Friday, the Paris Club announced the cancellation of $14.1 billion of $23.5 billion in debt, most of which is composed of arrears and late interests. The 16 sovereign creditors further rescheduled the remaining $9.4 billion with grace periods for 6 years

"On an exceptional basis, considering Sudan’s very limited capacity of payment, and provided that it continues to implement satisfactorily an IMF supported program, no payments are expected from Sudan until at least 1 December 2024," reads the statement.

In an interview with the Sudan Tribune on Friday, Finance Minister Gibril Ibrahim who led his government delegation to the Paris Club meetings welcomed the decision

"This decision is a great achievement. 60 per cent of the Paris Club debts are now forgiven, and until the completion point under the HIPIC initiative is reached, we will not pay anything to anyone.

"Also, once we have reached completion point, the entire debt is exempted," he stressed.

The minister stressed that there is no reason to worry but Sudan has to strive to implement the IMF-monitored economic and financial reforms and to increase national revenue before getting full debt clearance from the Paris Club.

"They gave us this (partial) exemption, and are waiting for a certificate of good conduct (reaching the completion point) so that we can get the full debt relief," he stressed.

Over 99% of the debt that Sudan owed to the Paris Club creditors consists of arrears and interest.

The members of the Paris Club are Austria, Belgium, Canada, Denmark, France, Germany, Italy, Ireland, Japan, the Netherlands, Norway, the Russian Federation, Spain, Switzerland, the United Kingdom and the United States of America.

Also took part in the meeting as observers: Kuwait, Saudi Arabia, the Abu United Arab Emirates and the Czech Republic.

Ibrahim told Sudan Tribune that the Gulf states committed themselves to the decisions of the Paris Club and pledged to enforce it.

He further said that the Saudi Finance Minister Mohammed Al-Jadaan pledged last May during Paris Conference on Sudan to convince all the non-members of the Paris Club to clear Sudan’s debt.

"We will contact Al-Jadaan after our return to Sudan to coordinate the next move with non-member countries to ensure that Sudan’s debts are forgiven," he added.

(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.


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



Sudan Tribune

Promote your Page too

Latest Comments & Analysis


Completion of 2nd GERD’s filling necessitates a shift in trilateral negotiations 2021-07-20 19:55:28 By A.Tesfaye Abera The completion of the second-year filling of the Great Ethiopian Renaissance Dam (GERD) instigates polarized views between Ethiopia, Sudan and Egypt. Mainly Egypt sees it as (...)

South Sudan legislators should be cautious about the oath they will take 2021-07-15 07:04:56 By Roger Alfred Yoron Modi It is a fact that the legislators of South Sudan’s incoming Reconstituted Transitional National Legislative Assembly (TNLA) are appointees of the parties to the (...)

What they said about Sudanese John Garang 2021-07-12 05:49:37 By Mahmoud A. Suleiman This article of a compilation of related topics comes against the backdrop of a number of issues relating to the Republic of South Sudan that was declared its inauguration (...)


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 © 2003-2021 SudanTribune - All rights reserved.