Saudi Arabia welcomes IMF, WBG decision to qualify Sudan for debt relief

Saudi Minister of Finance Mohammed al-Jadaan is pictured during a press conference at the Saudi budget Forum in Riyadh on December 10, 2019. (AFP)

Saudi Arabia welcomed the decision of the Executive Boards of the International Monetary Fund (IMF); and the World Bank Group (WBG) to qualify Sudan for debt relief under the Enhanced Heavily Indebted Poor Countries (HIPC) Initiative.

It commends the Sudanese government for re-engaging with international financial institutions and development partners; and for launching a range of structural reforms to restore macroeconomic stability.

On this occasion, Minister of Finance Mohammed Al Jadaan stated; “this marks a profound and historical moment in Sudan’s long journey towards re-engagement and normalization of relations; with the international financial institutions after nearly three decades of global financial isolation.

“We have come a long way since the Friends of Sudan Conference that Saudi Arabia hosted in August 2020 to mobilize support for Sudan. And, Saudi Arabia will continue to be supportive to Sudan’s efforts to revive and grow its economy.”

During the Kingdom’s participation in the International Conference on Sudan; led by Minister of Foreign Affairs Prince Faisal Bin Farhan in Paris May 17, 2021, Saudi Arabia provided, under the guidance of King Salman; a $20mn grant to Sudan to cover the financing gap of Sudan’s debt with the IMF.

Saudi Arabia also announced that it would transfer its full share of the emergency; and deferred charges accounts held at the IMF to Sudan for their debt relief. Additionally, the Kingdom committed a $10mn grant to replenish the existing Multi-donor Trust Fund administered by the World Bank. This is to support Sudan’s emergency response to COVID-19 pandemic.