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    Somalia celebrates debt relief worth $4.5 billion.

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    Somali Magazine – Somalia’s administration celebrated in Mogadishu on Wednesday after the IMF and World Bank announced $4.5 billion ($3.5 billion) in debt relief for the country.

    According to Prime Minister Hamza Abdi Barre, the relief is “equivalent to relieving every Somali of a debt of more than $300.”

    “This is a testament that our country and our people are financially viable, attracting foreign investment, and we are no longer debt-ridden,” he said.

    The debt was forgiven by the organizations under the Heavily Indebted Poor Countries (HIPC) initiative, which was established in 1996 to assist poor countries facing an untenable debt burden.

    The $4.5 billion in debt relief includes forgiveness from additional international, bilateral, and commercial debtors.

    “The external debt of Somalia has fallen from 64% of GDP in 2018 to less than 6% of GDP by the end of 2023,” the institutions stated in a joint statement.

    According to Prime Minister Barre, the assistance will allow Somalia to engage in development projects, revitalize the economy, and borrow money from foreign lending organizations.

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