Easing the resolution of cross-debts

Under pressure from the IMF, the State and oil companies share a common interest in reducing their cross-debts through mutual understanding.

After months of negotiations, the State and oil companies, representing all sectors of the industry, have finally reached an agreement. This agreement facilitates the resolution of their cross-debts, as they are now designated. The authorities have made a new commitment as part of negotiations with the IMF, which resulted in the granting of the Extended Credit Facility. The key point of this commitment is that oil distributors must fulfill their tax and parafiscal obligations.

This includes the payment of duties and taxes on petroleum products, fees to the Ministry of Environment, contributions to the sector’s development, contributions to the road fund, and the OMH fee. There were months when the oil companies refused to pay these taxes without being reimbursed for their debts.

Today, the Minister states that the State had a liability of 16 million USD towards the oil companies. Additionally, the State owed these oil companies a remaining liability of 8.5 million USD for the fiscal year 2023. These figures are included in the 2024 rectified finance bill. However, there is often more than a slight delay between financial entries and actual disbursements, which can raise doubts.