Burundi’s Ministry of Finance announced Tuesday, April 11, that Gitega (Burundi’s capital) will benefit from a $261.7 million loan “under the Extended Credit Facility (ECF).

The Government of Burundi, represented by the Minister of Finance, the Governor of the Central Bank and the IMF’s Technical Services, concluded a 40-month agreement for an extended credit facility of approximately $262 million.

Anaclet Nzimpora, an advisor to the Ministry of Finance, quoted by Anadolu Agency, said, “Thanks to this support of the FEC agreement, Burundi is planning a broad program of macroeconomic reforms such as reducing public debt and rebalancing the policies’ monetary policies. To deal with the decline in foreign exchange reserves”. Last October, amid dwindling foreign exchange reserves and inflationary pressures and the effects of the war in Ukraine, Burundi asked the International Monetary Fund for help.

The IMF intervention is the first high-profile program of high-quality credit tranches for Burundi since 2015. The fund reunites with Gitega a year after EU sanctions against the country were lifted.

In March 2016, the European Union suspended its direct financial assistance to the Burundian government following violence caused by the political and security crisis caused by late President Pierre Nkurunziza’s bid for a third term.