The United States has agreed to cancel $1.14 billion of Somalia’s debt, marking a significant financial milestone for the East African country. The agreement, signed in Mogadishu by Somali Finance Minister Bihi Egeh and US Ambassador Richard Riley, reflects Somalia’s commitment to the IMF-led economic reform agenda, which prioritizes income growth internal affairs, improving financial management and strengthening governance. The debt relief follows similar agreements with other creditors, including France and Russia, underscoring international support for Somalia’s economic recovery. Egeh expressed gratitude to the United States for its continued assistance, while Ambassador Riley praised Somalia’s commitment to reforms, stressing that a stable and prosperous Somalia benefits both nations. The agreement highlights Somalia’s progress in stabilizing its economy and reducing its external debt burden.

SOURCE: MONITOR IN THE MIDDLE EAST