IMF board approves financing package to pave way for Somalia debt relief

• The financing plan includes cash grants from member countries and IMF internal resources, without providing any further details of the financing package.
• This marks a critical step in helping Somalia advance the process of normalizing relations with the international community and making progress towards achieving debt relief.

WASHINGTON: The International Monetary Fund's executive board has approved a financing plan that will help the IMF cover its share of debt relief for Somalia, IMF Managing Director Kristalina Georgieva said in a statement on Wednesday.

The financing plan includes cash grants from member countries and IMF internal resources, she said, without providing any further details of the financing package.

"This marks a critical step in helping Somalia advance the process of normalizing relations with the international community and making progress towards achieving debt relief under the Heavily-Indebted Poor Country (HIPC) initiative," Georgieva said. A decision unlocking debt relief could come soon, she added.