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China has joined other creditors of Zambia in the process of debt restructuring to avail another tranche of the IMF loan. This was revealed by President Hakainde Hichilema
China has joined other creditors of Zambia in the process of debt restructuring to avail another tranche of the IMF loan. This was revealed by President Hakainde Hichilema. He thanked China for coming on board to commit itself to the debt restructuring process. Hichilema, emphasized that it would be difficult for the government to record sustainable economic development with the current debt levels.
There were reports earlier that China was sulking to join the debt restructuring process as wanted by the IMF. The multilateral body insists to have the debt restricting process approved by the country’s major creditors. The president revealed that Zambia would record progress with the debt restructuring program which is targeted at restoring and reviving the country’s economy.
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Last year, Zambia reached a staff-level agreement with the IMF on the debt restructuring. President scotched the reported news that appeared in some sections of the media that he was ignoring China in the IMF negotiation process. He asserted that he personally engaged China, which is now a part of the common framework committee.
The United Party for National Development (UPND), which the President heads, has been in office for the last eight months. Since then, it has been engaged in debt restructuring. He also revealed that the country’s inflationary spiral has abated and the exchange rate is more stable, thanks to the measures being taken by his government. The previous government headed by Edgar Lungu of Patriotic Front (PF) has been blamed for plunging the country into economic hardships and incurring colossal debts.
