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UN, partners hail debt relief talks between Fed. Govt and states

Storyline:Business, National News

The UN and other donor partners in Somalia have welcomed the recent talks between the Federal Government and state governments on the debt relief process terming it a step in ‘unlocking resources’ for development.

The partners said Saturday in a joint statement the talks held in Addis Ababa as part of the review process of the 4th IMF Staff Monitored Programme was instrumental advancing public financial management reform in Somalia.

“We welcome the renewed cooperation towards debt relief as well as to advance public financial management reforms across the country,” the statement read in part.

“We commend the ongoing concerted policy and reform efforts to build fiscal sustainability throughout Somalia, thereby laying the foundation for more inclusive growth and unlocking development resources to address the drivers of poverty and vulnerability.”

Noting that the successful completion of the debt relief would benefit Somalis by enabling access to greater resources from International Financial Institutions, the donors added, “For the process to be completed, sustained and concrete co-operation between the Federal Government and the Member States on financial and governance issues will be essential.”

The partners further called on the two levels of government to branches to sustain this positive reform momentum as well as to pursue constructive and effective dialogue to ensure timely progress on outstanding national priorities.”

“We welcome and encourage further efforts by international partners to prepare the steps that would be needed for debt relief, should Somalia reach Decision Point, including preparing to release IFI resources and identifying sufficient grant finance.”