(27/07/23) MOGADISHU – Somalia and Russia signed debt relief agreement on Thursday, forgiving Somalia’s debt of $684 million. The agreement was signed by Somalia’s Finance Minister, Bihi Iman, and Russia’s Deputy Finance Minister, Timur Igorevich Maksimov, during the Africa-Russia summit in Saint Petersburg.
In a statement, Mr. Bihi said that the agreement will accelerate Somalia’s progress towards reaching the HIPC Completion Point, which is a major milestone in the country’s debt relief process. The HIPC Completion Point would allow Somalia to receive significant debt relief from international creditors, which would free up even more resources for the government to invest in development projects.
The loan forgiveness agreement is set to usher in a new era of economic cooperation between Russia and Somalia and holds the promise of fostering stability and growth in the region. With this landmark step taken towards debt relief, Somalia is positioned to take strides towards prosperity and progress.
