World Bank supports Somalia on its new currency plan

The World Banks expressed its support for Somalia’s plans to print new currency to replace its current torn money.

The Director of International Monetary Fund Samba Thiam said the new currency will hit the local market before the end of the year 2017.

The current circulatory money in Somalia is 98% counterfeit and the 2% remaining is the remnants of the currency printed between 1990 and 1991 according the IMF Director.

The country ran into turmoil after the overthrow of Said Barre’s government in 1991 and the political system, the economy and civil societies came under large scale destruction.

This prompted the near zero income for the citizens, rampant unemployment and widespread poverty that qualified the country to be labeled as a poorest state in the continent.

The Director of International Monetary Fund Samba Thiam added that the World Bank alone can afford to invest implementing this program but the contribution of the donor countries is highly needed which is now in vital stages to be realized.

An external debt of US$ 5.3 billion is expected Somalia to repay in order for the country to meet the criteria of getting new financial aid or international investment.

This huge external credit belongs to the World Bank, IMF and African Development Bank.

The pardoning of this massive debt from Somalia depends on how the government fights corruption in order to get access to investments and rebuilding of the nation.