(3 minutes read)
· In a significant development, French President Emmanuel Macron announced the cancellation of Sudan’s $5 billion debt to France in an effort to support the country’s transitional leadership
· This widely expected gesture will help the country’s crippled economy recovering at a faster pace than expected
· Macron revealed at the meeting that a global process of reduction of Sudan’s debt should be formally launched by the IMF by the end of June.
In a significant development, French President Emmanuel Macron announced the cancellation of Sudan’s $5 billion debt to France in an effort to support the country’s transitional leadership. This widely expected gesture will help the country’s crippled economy recover at a faster pace than expected. This significant announcement was made at the Paris Conference gathering of African leaders and international creditors.
The event was hosted by Macron yesterday (Monday) for General Abdel-Fattah Burhan, head of Sudan’s ruling sovereign council, and Prime Minister Abdalla Hamdok, who is heading the transitional government. The event was also attended by the heads of state of neighboring Egypt and Ethiopia as also the International Monetary Fund Managing Director Kristalina Georgieva and African Union Commission Chairman Moussa Faki Mahamat.
Macron revealed at the meeting that a global process of reduction of Sudan’s debt should be formally launched by the IMF by the end of June. Incidentally, France will also provide a US$1.5 billion loan to clear Sudan’s arrears to the IMF. Sudan’s transitional government has taken a set of measures including a managed flotation of the Sudanese pound, fuel price hike to reduce oil subsidy etc. The measures were the set of suggestions indicated by the IMF to bailout the sagging economy. Sudan has a debt of US$70 billion.
