Somalia has been granted $970,000 additional interim assistance on lapse time basis under the enhanced Heavily Indebted Poor Countries (HIPC) initiative.
The additional interim assistance by International Monetary Fund (IMF) will cover Somalia’s debt service obligations for March 25, 2021 through to March 24, 2022.
IMF said that the Executive Board on March 25 last year approved Somalia had reached HIPC Decision Point. He Board approved three-year arrangements under the Extended Credit Facility (ECF) and Extended Fund Facility (EFF)
Interim assistance under the enhanced HIPC Initiative is debt relief granted on a country’s debt service falling due between the HIPC Decision and Completion Points.
Once a country reaches the HIPC Completion Point, it will receive the full debt relief committed at the HIPC Decision Point.