Seychelles has signed a loan agreement with the Organisation of the Petroleum Exporting Countries (OPEC) Fund for International Development (OFID) for a sum of $20 million to provide budget support for the government, said the Ministry of Finance, National Planning and Trade on Friday.

The agreement was signed by Minister Naadir Hassan and the President of the OPEC Fund, Abdulhamid Alkhalifa, in Washington D.C, US, on the sidelines of the boards of governors of the World Bank Group (WBG) and the International Monetary Fund (IMF) spring meetings from April 15 to 21.

Hassan led Seychelles' delegation at the event, which brought together ministers of finance and development and central bankers, private sector executives, representatives from civil society organisations and academics. The aim was to discuss issues of global concern, including the world economic outlook, poverty eradication, economic development, and aid effectiveness.

The delegation of Seychelles held talks with several departments within the Bretton Woods institutions on ongoing programmes being supported by those institutions as well as areas for future engagements. Discussions were also held on possible technical assistance programme to ensure that the island nation delivers on its commitments.

In his discussions with the World Bank group, Hassan was briefed on the bank evolution roadmap and the role of the bank in its engagement with Seychelles. It was agreed that more focus will be placed on key structural issues such as human development, climate adaptation and resilience building as well as disaster risk.

The minister also attended various events held by the Commonwealth on the sidelines of the Spring meetings. 

Hassan speaking at the Climate Financing for Africa Small Developing States. (Ministry of Finance, National Planning and Trade)

The Commonwealth Small States Advocacy Champions convened their second meeting, which signalled a resolute effort to accelerate progress towards sustainable development, resilience-building, and debt management strategies in small states. 

Ministers held critical discussions centred around themes such as spending pressures, innovative debt restructuring instruments, inclusive debt relief initiatives, and the consideration of climate vulnerability in debt sustainability analyses.

Additionally, the aim of the meeting to generate action-oriented outcomes that would contribute to ongoing high-level events, including the upcoming UN SIDS4 Conference in May and the Commonwealth Ministerial Meeting of Small States taking place during the Commonwealth Heads of Government Meeting (CHOGM) in October.

As small states navigate through multifaceted challenges, the Advocacy Champions reaffirmed their commitment to advocating for tailored solutions and shaping global decision-making processes to benefit small states.

Hassan also participated in various side events and was a key speaker at the IMF Small Developing States Forum and shared Seychelles' experience on its journey to mobilise climate financing, the challenges encountered and the opportunities that lies ahead.