Sudani’s coalition denies granting loans to African states, says debts date to 1980s

BAGHDAD — The Reconstruction and Development Coalition, led by former Prime Minister Mohammed Shia al-Sudani, denied that his government granted loans to several African countries, calling lawmaker Mohammed al-Shammari’s recent remarks inaccurate and politically motivated.

The coalition said allegations that the Sudani government lent money to African states were “completely false” and “not based on any evidence.” The funds in question, it said, are sovereign debts owed to Iraq dating to the 1970s and 1980s, when the former Iraqi government provided aid, oil shipments and loans to a number of Arab, African and Asian countries. “These loans are very old and did not come from the treasury of Sudani’s government,” the statement said.

Iraq is seeking repayment from Tanzania for two loans issued in 1979 and 1980 worth a combined $187 million, from Uganda for a 1981 loan worth $15 million, and from the Central African Republic for a 1984 loan worth about $7 million, the coalition said. The amounts have been updated through the end of 2024 and are calculated annually with interest, administrative costs and late-payment penalties.

The coalition said the debts are official claims managed by the Finance Ministry, with a specialized government committee responsible for negotiating recovery and any decision requiring Council of Ministers approval. “The Council of Ministers, throughout Sudani’s administration, never approved forgiving any country’s debt or reducing its obligations,” it said, adding that agencies had been instructed to pursue recovery through legal channels. The coalition said it reserves the right to take legal action against parties publishing “misleading” information intended to damage state institutions.

Al-Sudani served as prime minister from 2022 until 2026, when he was succeeded by Ali al-Zaidi.