An imminent decision by the International Monetary Fund regarding Sudan’s debt

By Wednesday 15th June, Sudan will end the International Monetary Fund deadline in relation to the exemption steps of more than 61 billion dollars, which were scheduled according to an agreement of the previous government with the international community, and it is certain that the country will lose development aid from donors and financing institutions. International.

The decisions taken by the military establishment on 25th October, and the failure to form a civilian government, Sudan is on the cusp of returning to the starting point, a point to which the Group of Seven warned at the beginning of this month, the need to form a civilian government as soon as possible, and this is the part that obstructs the task because the government has achieved 90% of the IMF prescription.

And the Group of Seven, led by the United States, had set a condition before the government, which is to resolve the political crisis and return to the path of civil transition, to take advantage of the (HIPC) initiative to address the legacy of heavy debts, especially after Sudan reached the decision-making point, where an agreement was signed on 15 July 2021 AD in Paris provides for the exemption of the equivalent of 67% of the debts of the member states of the Paris Club on Sudan, and this is equivalent to about 14.1 billion dollars.

It was expected that the external debt burden in Sudan would decrease from about 56 billion US dollars 163% of GDP on the basis of the net present value at the end of 2020 AD to 6 billion dollars 14% of GDP once the “GDP” is reached.

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