Debt sustainability in response to COVID-19
April 23, 2020
Following the pronouncement in the Budget (Amendment) 2020 Speech that the Government of Seychelles would approach its creditors to discuss the possible restructuring of its international debt, the Ministry of Finance, Trade, Investment and Economic Planning hereby further clarifies this statement.
The COVID-19 pandemic, which has affected the health and economic activities of most countries throughout the world, is also affecting Seychelles severely. The Government confirms that it is currently able to meet its loan repayments to all of its international creditors and does not intend to defer on its commitments at this stage.
For the fiscal year 2020, all debt obligations have already been factored into the foreign exchange reserve trajectory for the year. USD 51.1 million worth of foreign debts falls due for payment this year and this has already been factored into the 2020 Budget.
The Government remains committed to ensuring debt sustainability and will continuously monitor the situation and its fiscal position.