WASHINGTON (Halbeeg)- International Monetary Fund (IMF) has commended Somali authorities for implementing reforms for progress following completion of SMP.
Somalia is now on its third 12-month IMF staff-monitored programme after the conclusion of second and final review under SMP, IMF statement stated.
The international Financial Institution said the Managing Director of IMF has approved a third 12-month SMP (SMPIII).
The third staff-monitored programme will run between May 2018-April 2019.
The program will focus on broadening and deepening reform implementation to maintain macroeconomic stability and to continue rebuilding institutions and capacity to improve macroeconomic management and governance.
“SMP III will build on achievements under the previous two SMPs,” reads the statement, “And will continue to lay the foundation so that Somalia will eventually have a SMP that meets the IMF Upper Credit Tranche (UCT) conditionality which is one of the key requirements for Somalia to reach the Decision Point under the Heavily Indebted Poor Countries (HIPC) initiative.”
According to the statement, the agency praised Somali authorities’ ongoing efforts to accelerate the reform agenda.
New Currency
The Somali government will print new currency notes to replace the ones currently in use.
After nearly two years of the IMF’s technical assistance support, the pre-conditions for the launch of the new Somali Shilling have been nearly completed.
Finance minister Abdirahman Dualeh Beileh made the announcement in his office in Mogadishu last week.
Two samples of the new notes including 5,000 and 10,000 shillings denominations were displayed.
“My government is determined to print new currencies of the Somali Shillings that include 5,000 and 10,000 denominations,” said Dr. Beileh last month.
In the statement, IMF staff said they support the ongoing efforts to launch a new national currency.
“In March, IMF staff prepared an assessment letter supporting the CBS’s initiative to issue a new national currency. Staff encourages the authorities to continue to reach out to donors to raise the needed funds for this operation,” IMF said, “finalize the establishment of the accountability framework, and to fully staff the team that will manage the process.”
Discussion about this post