Accessibility links

Breaking News

IMF Recognizes Somali Government

Somali President Hassan Sheikh Mohamud speaks during a military parade marking the 53rd anniversary of the Somali National Army in Mogadishu, Somalia, April 12, 2013.
The International Monetary Fund has officially recognized the Somali government after a break in relations of 22 years. The move opens the way for donor nations and other development banks to resume relations with Somalia.

In a statement Friday, the IMF said "the decision is consistent with broad international support and recognition" of Somalia's government.

The agency said, however, said that Somalia will not be eligible for any new financing until it repays previous loans it owes to the IMF of more than $350 million.

Many nations have been re-engaging with the Somali government since the election of President Hassan Sheikh Mohamud last year.

The United States officially recognized the new Somali government in January, saying it has made significant progress in stabilizing the country and defeating al-Shabab Islamic militants.

African Union and Somali forces have pushed the militants out of a number of major towns. But al-Shabab still controls a large part of the country as it tries into turn Somalia into a strictly Islamic state.

Somalia has not had a strong central government since 1991. Various warlords and groups spent the next two decades trying to seize power.

A new parliament sworn in last year elected Mr. Mohamud president, ending eight years of ineffective and unstable transitional government.