Portugal provides 15 million to São Tomé. “Immediate Needs”
“ANDThis sum of 15 million euros is to cover immediate cash needs. São Tomé and Príncipe is – we can now say that it “was” – on the verge of an absolute breakdown in terms of treasury and therefore it was essential that Portugal provided this support now, even before the end of the year”, explained the head of Portuguese diplomacy, in following the signing of a memorandum of understanding between the two countries at the Ministry of Foreign Affairs, in Lisbon.
Gomes Cravinho said he was unable, “at this moment” to anticipate whether Portugal would increase the amount of this support, making this possibility dependent on talks between the governments of the two countries in early 2023.
“I cannot, at this moment, anticipate whether there will be another concrete support of this type from the Portuguese side, it will depend on the work with the Sao Tome authorities at the beginning of the year”, he told journalists.
“We are working with the Sao Tome authorities and at the beginning of the year we will go there, as soon as possible, to establish a live dialogue and a strategic plan [de cooperação] for the coming years, so that this amount, and others that may prove to be required in the future, are directed towards a systematic plan for the recovery of the economy and in correspondence with the needs in the areas of education, health and the State right”, said the Minister of Foreign Affairs.
Gomes Cravinho also made a point of underlining that the conversations and support that come from them must guarantee that situations similar to those that São Tomé faced, of “absolute” budget rupture, do not happen again.
“We know, however, that we always have to combine the immediate with the medium and long term. Because, if not, in the medium and long term [prazos] the dramas of the immediate are repeated”, said the minister.
Direct support of 15 million euros to the State Budget of São Tomé and Príncipe will be directed to the areas of education, health, well-being and the rule of law, according to the official.
“Unfortunately, we recently had a case of violation of the rule of law in São Tomé and Príncipe and our objective as a brother country, as a member of the CPLP, together with São Tomé and Príncipe, is supported [este país] to now find the path of stability and prosperity, within the framework of the beginning of a new legislature”, he underlined.
According to the head of Portuguese diplomacy, “there will be a need” to involve other international bodies in supporting São Tomé, “from the outset the CPLP, but also the International Monetary Fund (IMF) and other bodies that may be identified”, and the support that was made available today allows “gaining time” for those bodies involved.
“We have gained a little time. With this support of 15 million euros, we have gained enough time to work with the Sao Tome authorities and other international bodies to see how together we can meet these needs”, he said.
Gomes Cravinho also explained that this support is additional to the amounts and programs included in the strategic plan for Portuguese cooperation regarding São Tomé in force.
“We have a cooperation plan, which will continue. This is an additional amount. However, we anticipate that during 2023 more support will be needed for São Tomé and Príncipe”, he said.
The Sao Tome ambassador in Lisbon, António Quintas do Espírito Santo, who signed the memorandum of understanding on behalf of the Sao Tome government, said that the agreement signed today “has concrete objectives in terms of health, education, in terms of democracy” that Sao Tome and Principe needs to strengthen.
“It is a gesture of a friendly people, of cooperation, it is a gesture that our Government is grateful for, and believes that our authorities covered a good use of this amount of 15 million euros, which will serve to reduce the difficulties the country is going through. regarding the foreign exchange reserve and beyond”, stated the diplomat.
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