World Bank VP praises Suriname’s reforms, announces aid & IDA access
World Bank Regional Vice President, Carlos Felipe Jaramillo, Monday paid a working visit to President Chandrikapersad Santokhi, the first time the senior vice president for Latin America and the Caribbean has visited the Dutch-speaking Caribbean Community (CARICOM) country.
“We are impressed with how Suriname is gradually emerging from the debt crisis. Many good decisions have been made. Difficult decisions, sometimes painful, but necessary to bring the situation under control and stabilise the economy,” said Jaramillo.
The World Bank has announced more aid for Suriname, while also providing access to funds from the International Development Association (IDA). If the process to become a member of IDA is completed successfully, the country can count on a long-term soft loan of US$22.5 million.
“My visit is also to take the World Bank’s support to Suriname to the ‘next level’ That’s why the most important announcement today is, we are pleased that Suriname is being granted access to the concessional arm of the World Bank, the IDA,” Jaramillo said.
The World Bank is already financing a number of projects in the country related to infrastructure and entrepreneurship, such as the clean-up of the Saramacca Canal and favourable loans for small to medium-sized entrepreneurs to increase production.
Finance and Planning Minister, Stanley Raghoebarsing, said the IDA is one of the agencies of the World Bank and is accessible to countries in vulnerable positions.
“These were usually island states or small states with major risks. That is our country. We have applied for IDA and it is being processed for approval. When approval comes – we expect it in July – it will mean that US$22.5 million will be available for the first year on very soft terms,” he said, noting that these are ‘concessional’ loans: long-term loans with very low interest rates.
Santokhi has indicated that the funding will be used for the community, indicating that it is time the society begins to experience the stability of the economy.
