Latest news with #SitumbekoMusokotwane
Bloomberg
2 days ago
- Business
- Bloomberg
TDB Warns Losses on African Development Banks Set Dangerous Precedent
Forcing African development lenders to take losses in sovereign debt restructurings would set a dangerous precedent and increase the cost of financing on the continent, TDB Managing Director Admassu Tadesse cautioned. Zambia plans to impose losses on institutions including the Eastern and Southern African Trade and Development Bank, or TDB, and the African Export-Import Bank as it reworks $13.4 billion in loans spanning Chinese state-owned banks to bondholders. Finance Minister Situmbeko Musokotwane said last week the southern African nation must honor its agreement with other creditors, which includes subjecting TDB and Afreximbank loans to comparable treatment. Ghana has echoed this.
Bloomberg
27-05-2025
- Business
- Bloomberg
Zambia to Remain in Default With Afreximbank Until Debt Reworked
Zambia will restructure its debt with regional lenders including the African Export-Import Bank and remain in default on those payments until the process is completed, Finance Minister Situmbeko Musokotwane said. The stance — similar to Ghana's as that country overhauls its own loans — is at odds with Afreximbank's position that its 'preferred-creditor status' means it shouldn't have to absorb losses like other commercial lenders. The difference of opinion may set the stage for a bitter dispute that could set a precedent for how Afreximbank and similar lenders on the continent have their debt treated in other restructurings.
The Star
07-05-2025
- Business
- The Star
Zambia signs agreement with Indian bank on debt restructuring
LUSAKA, May 7 (Xinhua) -- Zambia on Wednesday signed a bilateral agreement with the Export-Import Bank of India (Exim Bank) for the restructuring of its debt. The agreement covers about 320 million U.S. dollars of central government debt and an additional 15 million dollars owed by Zesco Limited, the state-owned power utility. Minister of Finance and National Planning Situmbeko Musokotwane said the signing marks a milestone in Zambia's ongoing debt restructuring efforts under the G20 Common Framework, which aims to restore debt sustainability and create fiscal space for national development. He said that the debt has been restructured on favorable terms, as outlined in the memorandum of understanding under the G20 Common Framework. "This agreement not only reaffirms our strong bilateral ties but also demonstrates our shared commitment to ensuring a sustainable financial future for Zambia," Musokotwane said during the signing ceremony. He commended the Exim Bank for its continued support throughout the process, saying that the agreement reflects Zambia's success in engaging its creditors in a transparent and collaborative manner. The signing is a vote of confidence in Zambia's economic reforms, Musokotwane said, adding that the agreed terms are designed to support the country's economic recovery, ease debt servicing pressures, and allow the government to redirect resources to priority sectors.
Bloomberg
22-04-2025
- Business
- Bloomberg
Zambia Finance Minister Musokotwane on Tariffs, Trade
Zambia's Finance Minister Situmbeko Musokotwane spoke exclusively with Bloomberg's Matthew Hill about how tariffs will affect the southern African nation, which is still reeling from a challenging debt restructuring and a historic drought. (Source: Bloomberg)
Bloomberg
22-04-2025
- Business
- Bloomberg
Zambia to Sign Final Bilateral Debt-Revamp Deals by September
Zambia aims to sign debt-restructuring deals with its remaining bilateral creditors by the third quarter, said Finance Minister Situmbeko Musokotwane, helping to bring closure to a years-long effort. The copper-rich southern African nation has already finalized deals with France and Saudi Arabia, yet agreements with other creditor countries — including the largest, China — remain pending. That's yet another reminder of the painstakingly slow progress that governments have made with debt workouts in the wake of the pandemic.
