Somalia and Saudi Arabia have inked an agreement to enhance the restructuring of Somalia’s debt.
Elmi Nur, has signed a landmark agreement with the Chief Executive Officer of the Saudi Arabian Development Fund, Sultan Abdirahman Al-Marshad.
The deal, which was signed at a ceremony in Jeddah, marks a significant milestone in Somalia’s efforts to rebuild its economy and strengthen its financial position.
Under the terms of the agreement, the repayment period of the loan is delayed, allowing Somalia to use the funds to invest in critical infrastructure and social services. The deal will also provide Somalia with much-needed breathing room as it continues to grapple with security challenges and political instability.
This agreement comes at a crucial time for Somalia, which has been struggling with debt and economic challenges for many years.
The country, which has been ravaged by civil war and political instability, has been heavily dependent on foreign aid and loans to finance its development projects.
In recent years, however, Somalia has made significant progress in stabilizing its economy and attracting foreign investment. The country’s GDP grew by 2.9% in 2019, and the government has been working to implement economic reforms and attract foreign investment to spur growth and development.
This agreement with Saudi Arabia is an important step forward in Somalia’s efforts to rebuild its economy and reduce its debt burden.
The restructuring of the debt will help to free up resources that can be used to invest in critical areas such as education, health, and infrastructure.
The Saudi Arabian Development Fund has been a key partner in Somalia’s development efforts, providing support for a range of projects in the country over the years.
The fund has financed a number of infrastructure projects, including roads, bridges, and water supply systems, as well as social programs such as education and health care.
The signing of this agreement is a testament to the strong and growing partnership between Saudi Arabia and Somalia.
It demonstrates the commitment of both countries to work together to promote economic growth, development, and stability in the region.