Sudan and Belarus have taken a significant step in strengthening their economic ties by signing the second part of an export financing agreement, known as the Basic Agreement. The signing ceremony took place at the Belarusian Development Bank in Minsk, the capital of Belarus. The agreement was signed by Mohammad Nur Abdul Daim, Minister of State for Finance and advisor to the Finance Minister for Sudan, and Siarhei Starchankeu, CEO of the Belarusian Development Bank.
The agreement is expected to facilitate the financing of several key projects in Sudan, including the construction of 17 grain silos and the establishment of a production line for Belarusian tractors in Sudan. According to Abdul Daim, the Belarusian Development Bank will provide financing exceeding $100 million in the initial phase. This move is part of a broader effort to enhance economic cooperation between the two countries.
The next phase of cooperation will focus on projects related to food security, agricultural mechanization, transportation, and infrastructure rehabilitation. These initiatives aim to leverage Sudan's natural resources and Belarus's expertise in agriculture and manufacturing. The agreement follows the outcomes of a joint ministerial committee meeting between Sudan and Belarus held in May.
Discussions during the visit also covered the financing of a public transportation fleet, railway projects, and enhancing banking cooperation to facilitate financial and trade transactions. The two sides explored ways to attract Belarusian investments and increase Sudanese exports. They also addressed means to overcome obstacles to their cooperation and coordinated communication in trade, industry, and mining.
Abdul Daim held talks with the Governor of the Belarusian Bank to activate the agreement and advance joint banking cooperation files. A key topic was facilitating direct banking correspondence and expanding financing lines between banks in both countries. During these discussions, Abdul Daim proposed a strategic initiative based on a "circular loan" formula to secure essential goods.
The proposed "circular loan" initiative aims to provide financing for strategic goods through a profit-sharing arrangement. The Belarusian Bank expressed its readiness to study this proposal. This development reflects the ongoing efforts to strengthen economic ties and enhance cooperation in various sectors.
The new financing agreement between Sudan and Belarus is expected to have a positive impact on their economic relations and support the development of key sectors in Sudan. The agreement demonstrates the commitment of both countries to fostering cooperation and exploring new opportunities for mutual benefit.
Key points
- Sudan and Belarus have signed a new financing agreement to support food security projects.
- The agreement includes financing for the construction of 17 grain silos and a production line for Belarusian tractors in Sudan.
- The next phase of cooperation will focus on food security, agricultural mechanization, transportation, and infrastructure rehabilitation projects.
