Press Release No. 00/46

Press Release: IMF Lifts Suspension of Sudan's Voting and Related Rights

August 1, 2000

In recognition of Sudan's progress since 1997 in implementing appropriate macroeconomic and structural policies under staff-monitored programs, and in making payments to the International Monetary Fund (IMF), the IMF's Executive Board has lifted the suspension of Sudan's voting and related rights in the IMF, which had been in place since August 9, 1993.

The Executive Board's decision is the second step in the process of de-escalation of the remedial measures that were applied earlier to Sudan. The first step by the Executive Board took place on August 27, 1999, with the lifting of its declaration of noncooperation against Sudan, which had been in place since September 14, 1990 (see News Brief No. 99/52). The de-escalation process is designed to encourage members with protracted arrears to the IMF to establish a solid record of policy performance and payments to the IMF with the ultimate objective of full clearance of arrears and regaining access to IMF financial resources.

After the Executive Board discussion, Shigemitsu Sugisaki, Deputy Managing Director and Acting Chairman, made the following statement: "Sudan has made considerable progress over the last three years in stabilizing the macroeconomic situation and moving forward the structural reform agenda under staff-monitored programs and in making payments to the IMF. Nonetheless, it will be important for the authorities to maintain the current momentum in successfully implementing the medium-term staff-monitored program in terms of macroeconomic and structural policies, to increase payments to the IMF as committed for 2000 and 2001, and to further improve relations with other creditors. This would help provide a basis for a comprehensive resolution to Sudan's arrears to the IMF and its debt problem."