Hassan Khaire: The man behind Somalia's debt relief success 

Somalia has agreed on a debt relief deal from its international creditors, including the International Monetary Fund (IMF) and World Bank.

While confirming the deal worth $4.5 billion (about Sh700 billion), the government of the Federal Republic of Somalia explained it will allow the nation to develop economically and take on new projects.

The deal comes as part of a debt relief program dubbed the Heavily Indebted Poor Countries (HIPC) initiative overseen by the IMF and the World Bank.

Although the debt cancellation has just been concluded this year, it is believed that the most significant work was done between 2017 and 2020 during which Prime Minister Hassan Ali Khaire accelerated the governance system of Somalia.

During his tenure as the Prime Minister, Khaire played a key role in the growth of Somalia's economy.

The government consistently paid the salaries of its employees and the Somalia military and the police were given special priority.

It was recorded for the first time that the Somalia army received their salaries before the end of the every month, which greatly encouraged the agencies involved in Somalia's debt relief.

Under his leadership, Somalia transitioned to the historic Heavily Indebted Poor Countries (HIPC) stage in march of 2020.

“The government and People of Somalia are very pleased by the IMF's and World Bank Group’s decision which allows Somalia to fully re-engage with International Financial Institutions. This decision is an important milestone which presents ample opportunities for Somalia as it relentlessly pursues its ongoing reform processes as well as its recovery and development agenda,” Khaire said in March 2020.

“The journey leading to this decision required hard work, dedication and partnership. The FGS expresses its appreciation to the IMF, World Bank Group and partners for their unwavering support and to the Somali people for their patience and resilience in this journey,” he said then.

At the time, the government of Somalia committed to maintaining macro-economic stability; implementing a poverty reduction strategy; and putting in place a set of reforms focused on fiscal stability, improving governance and debt management, and strengthening social conditions to shale Somalia's economy.

After the announcement of the success of the debt relief program, Khaire congratulated the government of Somalia for this great achievement.

However, he stated the importance of putting in place measures to prevent Somalia from slipping back into heavy debt.

Other than Somalia, Ghana, Ethiopia and Zambia are the other countries in talks with international creditors over debt relief.