In a significant move, the United States has agreed to cancel over $1.14 billion in debt owed by Somalia.
This decision comes as the Horn of Africa nation continues to grapple with various challenges, including poverty, conflict, and climate-related disasters.
The debt relief, part of a broader international effort, is expected to provide Somalia with much-needed financial relief.
The US, a major donor to Somalia, has been a key supporter of the country’s efforts to rebuild and stabilize.
The announcement of the debt cancellation coincides with the approval of Somalia’s 2025 national budget, which aims to boost economic growth and address pressing social issues.
However, the country’s economic outlook remains uncertain, with risks stemming from global factors such as the ongoing conflict in Ukraine and regional instability.