In a significant step toward bolstering economic stability in the region, the Arab Monetary Fund (AMF) has signed a Memorandum of Understanding (MoU) with the Federal Republic of Somalia to restructure Somalia’s longstanding debt to the Fund.
The agreement, signed in Kuwait on the sidelines of the annual meetings of joint Arab financial institutions, aims to ease Somalia’s financial burden and reinforce its trajectory of economic reform and sustainable development.
Somalia’s debt to the AMF dates back over four decades. The restructuring marks a pivotal moment for the country, which has been steadily implementing reform measures to stabilize its economy and strengthen financial governance.
Dr. Fahad bin Mohammed Al Turki, Chairman of the AMF Board, underscored the Fund’s dedication to its member states, stating that the initiative reflects the AMF’s broader strategy to promote economic resilience and long-term growth across the Arab world.
“This agreement reflects our commitment to supporting Arab countries in achieving financial sustainability,”
said Dr. Al Turki.
“Through collaboration and tailored support, we aim to create a framework where all member states can thrive.”
The MoU is aligned with the AMF’s updated strategic direction, which emphasizes flexibility, fiscal sustainability, and closer cooperation with member nations to overcome financial challenges.
With this move, the AMF reaffirms its role as a key regional institution fostering economic progress, while Somalia takes another step forward in its recovery and development journey.
News Source: Emirates News Agency
