Feb 24, 2024
Zambian President Says China and India Signed Debt-Revamp Deal
Bloomberg News
,![Hakainde Hichilema, Zambia's president, during a Bloomberg Television interview in Paris, France, on Friday, June 23, 2023. Zambia reached an agreement in principle to restructure $6.3 billion of bilateral debt even though the accord didn’t meet all the government’s targets, according to Hichilema. Photographer: Nathan Laine/Bloomberg, Bloomberg Hakainde Hichilema, Zambia's president, during a Bloomberg Television interview in Paris, France, on Friday, June 23, 2023. Zambia reached an agreement in principle to restructure $6.3 billion of bilateral debt even though the accord didn’t meet all the government’s targets, according to Hichilema. Photographer: Nathan Laine/Bloomberg](/polopoly_fs/1.2038808.1708787846!/fileimage/httpImage/image.jpg_gen/derivatives/landscape_620/hakainde-hichilema-zambia-s-president-during-a-bloomberg-television-interview-in-paris-france-on-friday-june-23-2023-zambia-reached-an-agreement-in-principle-to-restructure-6-3-billion-of-bilateral-debt-even-though-the-accord-didn-t-meet-all-the-government-s-targets-according-to-hichilema-photographer-nathan-laine-bloomberg.jpg)
(Bloomberg) -- China and India, the last two nations needed to sign a deal to restructure Zambia’s debt, have finally done so, President Hakainde Hichilema said Saturday.
“We’re getting there,” he said on Zambian state-owned television. “Now we are turning our attention to the private creditors that we hope to be able to put to bed soon.”
Zambia reached a memorandum of understanding with official creditors to restructure $6.3 billion of debt in October. The government is in talks with other creditors, including the holders of $3 billion in outstanding eurobonds. The discussions have been deadlocked since November, when the Official Creditors Committee — co-chaired by France and China — rejected a deal in principle the administration reached with those investors.
The southern African nation signed up to use the so-called Common Framework to restructure its debts three years ago, after defaulting in November 2020.
--With assistance from Matthew Hill.
©2024 Bloomberg L.P.