More than a diplomatic gesture: France announced on Monday that it would cancel all debts owed to Sudan. His government will also provide the African country with a bridging loan of just over 1.2 billion euros, French President Emmanuel Macron said on Monday at an international aid conference in Paris. The debt relief amounted to”almost five billion dollars”.
The federal government also announced millions of dollars in financial aid for Sudan.
Federal Foreign Minister Heiko Maas (SPD) said that the Federal Republic is issuing bilateral debts of 360 million euros to Sudan. In addition, Berlin will take over up to 90 million euros of the East African country’s payment obligations with the International Monetary Fund (IMF).
Maas stressed that the political and economic reform process in Sudan, which had begun, was “laborious, but it offers a historic opportunity for more peace, economic prospects and freedom for the people.” In April 2019, the military overthrew long-time President Omar al-Bashir after mass protests there. Last August, the government in Khartoum reached a peace agreement with rebel groups. According to UN figures, some 300,000 people have been killed in the conflict in Darfur since 2003.
French President Macron had invited to the aid conference for Sudan. “Significant progress has been made since the fall of the old government,” Macron said. He called the democratic Transition in Sudan “an Inspiration” for other African countries.
Macron calls for” New Deal ” for African countries
France also wants to provide Sudan with a bridging loan of 1.5 billion US dollars (a good 1.2 billion euros) so that the country can make up its arrears with the IMF “as soon as possible”, as Finance Minister Bruno Le Maire said.
According to Prime Minister Abdallah Hamdok, Sudan has debts of around 60 billion US dollars. Before his departure for Paris, Maas recalled the Berlin Sudan Conference last June, at which the participants pledged a total of 1.8 billion US dollars (almost 1.5 million euros) in aid.
French President Macron had earlier called for a” new deal ” for African countries. A summit meeting with around 15 other African countries is planned for Tuesday in the French capital. Among others, the heads of State and government of Angola, Egypt, Mali and Senegal are invited to attend. International financial organizations such as the IMF, the OECD and the World Bank also want to join in via video conference.
According to the French Presidential Office, the aim is to put together a “package of massive support for Africa” in order to “lay the foundations for a new cycle of growth on the continent”. The corona pandemic has put a massive damper on the African economy. The continent is facing its first recession in 25 years this year, it said in Paris.
