Afghan Debt Restructured in Historic Agreement
On September 27, Minister of Finance Anwar ul Haq Ahady and US Deputy Secretary of Treasury Robert Kimmitt signed a historic agreement whereby the previous US loan to Afghanistan of $105 million given the country before 1979 will be restructured, allowing for payment to be made over the next four years. Afghanistan is now seeking Heavily Indebted Poor Country Status (HIPC) with the International Monetary Fund (IMF). In January, the IMF will decide whether Afghanistan qualifies for HIPC status, which would catalyze 100% debt forgiveness from the $105 million owed to the United States, along with loans from other countries including Germany and Russia.
