VenturesNow

Italian Foreign minister, Antonio Tajani, wants IMF, US to unblock aid fund to Tunisia. Here’s why

Published

1 year ago

March 19, 2023

European country, Italy is worried that International Monetary Fund’s block on a $1.9 billion loan to Tunisia might lead to a new wave of migrants towards Europe.

Italian Foreign Minister, Antonio Tajani remarked on Sunday as the IMF, the United States, and other international donors stopped bailout talks demanding far-reaching reforms from President Kais Saied to free up the cash.

Tajani told journalists that he has spoken to IMF Managing Director Kristalina Georgieva and urged her to show flexibility to stave off possible financial collapse.

“I reiterated the need for the Fund to intervene quickly in favour of Tunisian stabilisation and growth with economic and financial support.

“The stability and prosperity of Tunisia, with respect for fundamental rights and freedoms, are crucial for the stability of the entire Mediterranean region,” Tajani said.

He had discussed the problem with US Secretary of State Antony Blinken prior to an upcoming meeting of EU foreign ministers.

“Uncontrolled irregular migration can only be reduced by improving the conditions of security and economic stability,” Tajani said, adding that Italy was looking to boost training opportunities for Tunisians as an alternative to migration.

In recent years, refugees and migrants attempting to reach Europe via the Mediterranean Sea lost their lives at an alarming rate. According to the EU statistics agency Eurostat, an analysis done in September 2022 which revealed that in September alone, France received around 15,000 asylum applications, Germany almost 21,000, Austria around 15,700, and Spain more than 11,000, compared to only 8,500 for Italy.

As of 2023, Italy has taken in 20,046 boat migrants, a record number, beating the all-time high set in 2016, when 181,436 migrants reached land in a flotilla of flimsy boats.

Click to comment

VenturesNow

Nigeria wants $2.25 billion World Bank loan

Published

8 hours ago

April 23, 2024

Ifeoluwa Dada

Nigeria’s Finance Minister, Wale Edun, has revealed that the country is seeking up to $2.25 billion in World Bank loans and expects the bank’s board to approve the request in June.

The move was announced in a statement following the International Monetary Fund/World Bank spring meetings in Washington, D.C as the country also aims to issue diaspora bonds later this year to attract much-need foreign exchange into the country.

The World Bank loans would include $1.5 billion for development policy and $750 million for program-for-results, the statement said. It also said that the bank would meet in June to decide whether to approve the plan in its entirety.

The multilateral body is yet to comment on the revelation at press time.

Nigeria one of Africa’s biggest oil producers has struggled lately mainly over industrial-scale crude oil theft, and troubles getting foreign currency, which caused its naira currency to drop to all-time lows against the U.S. dollar. It has since recovered, though.

Already, the country is on record levels of debt, high unemployment, and large amounts of money from the central bank. However, Edun has insisted that the government had cut the money it borrowed from the central bank in half.

VenturesNow

Ghana’s finance minister anticipates debt restructuring MoU with lenders

Published

22 hours ago

April 22, 2024

Ifeoluwa Dada

Ghana’s Finance Minister has announced that the country’s two main creditors will send him a draft Memorandum of Understanding (MoU) on a restructuring deal in May, signifying a major progress in the country’s debt reform.

Once the MoU is signed, it will make public the deal that was made in January to restructure $5.4 billion in loans with its official creditors, such as China and France.

The restructuring is a big step toward Ghana getting rid of its debt as it works to get out of the worst economic crisis in a generation. It should also allow the country to get more money from its $3 billion IMF program.

Mohammed Amin Adam said he was sure the International Monetary Fund (IMF) and the World Bank would work together at the Spring Meetings in Washington, D.C. In June, the Monetary Fund’s executive board will agree to review its staff-level deal.

From 2023 to 2028, Ghana’s national debt to gross domestic product level was supposed to go down by 15%. This guess says that the number will have gone down every year for six years, ending at 69.96% in 2028.

Ghana didn’t pay back most of its foreign loans in December 2022 because it became too expensive to do so. But now it needs to work out a deal with private holders of about $13 billion in foreign bonds. It has also changed most of its domestic debt.