Congo Republic's IMF Bailout at Risk Over Debt Deals

Advisers to Congo Republic’s government have warned it that there is a “major risk” the International Monetary Fund (IMF) will reject its bid for a long-sought bailout, according to a letter obtained by Reuters. Negotiations for an IMF programme have dragged on since 2017, with the IMF’s executive board demanding the central African oil producer ensure the sustainability of its debt, most of which is owed to China and oil traders, Reuters reported. At the end of its most recent mission to Congo this month, an IMF team said it was finally ready to support a three-year credit facility. But any programme would first need to be approved by the Fund’s board. “The advisers to the republic wish to make you aware of the major risk of the programme’s rejection by the IMF’s board,” said the letter addressed to Congolese Prime Minister Clement Mouamba and dated May 15. Read more