Saudi Arabia to help Sudan cut IMF debt

Saudi Arabia also said it would also help the country deal with its arrears. (Shutterstock)

• The Kingdom announced during the Paris Conference on Monday a $20 million grant to cover part of Sudan’s financing gap with the IMF

RIYADH: Saudi Arabia aims to support Sudan’s efforts to reduce its International Monetary Fund debts.
The Kingdom announced during the Paris Conference on Monday a $20 million grant to cover part of Sudan’s financing gap with the IMF, Al Arabiya reported.
Saudi Arabia also said it would also help the country deal with its arrears.
A Saudi official involved in debt restructuring talks for Sudan said that the Kingdom would encourage creditors to reach a broad agreement to reduce the African country’s $50 billion debt pile.
International Monetary Fund figures show that Saudi Arabia is the third largest creditor to Sudan, with about $4.6 billion outstanding.
Sudan is eligible for debt relief under the Heavily Indebted Poor Countries (HIPC) initiative.
The two-day Paris Conference to support Sudan comes as France writes off billions of dollars in Sudan debt.
“Reducing Sudan’s debt, which we are about to embark on, is a first result of reforms. This trend should be cemented, both economically and politically,” the French President said at the opening of the conference.
One of the goals of the Paris conference is to garner interest in investment in the country.
Billions of dollars in projects in energy, mining, infrastructure and agriculture will be proposed, said Sudan’s minister of cabinet affairs Khalid Omar Youssef.
“Sudan is a very rich country. We do not want charity, we want investments,” said Sudanese Prime Minister Abdullah Hamdok.