© Reuters. FILE PHOTO: Zambia’s Finance Minister Situmbeko Musokotwane attends the Annual Conferences of the Worldwide Financial Fund and World Financial institution in Washington, U.S., October 15, 2022. REUTERS/James Lawler Duggan/File Photograph
By Jorgelina do Rosario and Rodrigo Campos
WASHINGTON/NEW YORK (Reuters) – Zambia final week gave its bondholders a “concrete proposal” for the restructuring of some $3 billion in eurobonds, the ministry of finance and nationwide planning mentioned on Friday.
“We proceed to interact actively with our bondholders and proposals are being exchanged,” the ministry informed Reuters in a press release.
The proposal “represents our dedication to discovering a decision that’s acceptable to all events and throughout the parameters set out by the IMF debt sustainability evaluation.”
Particulars of the proposal weren’t shared.
The African nation’s exterior debt topped $17 billion on the finish of 2021, of which one-third was owed to China, in accordance with Zambian authorities knowledge.
Zambia defaulted on its abroad debt in 2020 and is engaged on a restructuring with bilateral collectors and personal bondholders, however talks have dragged amid a scarcity of consensus on find out how to present debt aid.
Debt aid for struggling rising market economies has been a central level of debate this week on the spring conferences of the Worldwide Financial Fund and World Financial institution in Washington.
“Debt service is turning into a critical problem,” Sierra Leone Finance Minister Sheku A.F. Bangura informed reporters at a press briefing in Washington on Saturday. “It is crowding out our spending on social infrastructure, primarily training and well being. Internationally we have to pool our voices collectively for a stronger response … We’d like a stronger response on a worldwide stage.”
