The governments of Russia and Somalia have reached an agreement to settle the African nation's debt to Moscow. The agreement, dated December 10, has been published on Russia's official legal documents portal.
According to the agreement, the debt accumulated from long-term loans extended by the Soviet government to the Somali Democratic Republic before October 1, 1984, has been forgiven. At that time, Somalia followed a socialist orientation before transitioning away from socialism in the 1990s. The total amount forgiven, including accrued interest, stands at $48.1 million.
The agreement specifies that "100% of the consolidated amount is written off in accordance with this agreement. The government of the Federal Republic of Somalia is relieved of the obligation to repay the full consolidated amount."
This agreement builds on the Russia-Somali accord signed on July 26, 2023, which originally outlined a repayment schedule for the debt. With the cancellation of the Soviet-era debt, the repayment schedule has been adjusted, and the remaining obligations are now set to be fully paid by April 2028.
GSV "Russia - Islamic World"
Based on TASS materials