WASHINGTON, DC —
The
International Monetary Fund (IMF) said Saturday that an agreement by
Zambia’s creditors to restructure the African country’s crushing debt load has
helped clear the way for the release of $1.3 billion in IMF-support funds.
اضافة اعلان
Managing director Kristina Georgieva said she
welcomed a statement from the Official Creditor Committee for
Zambia, which has
met virtually under joint French-Chinese leadership with IMF and World Bank
staff observing.
Its support “for Zambia’s envisaged IMF-supported program,
together with its commitment to negotiate debt restructuring terms,
accordingly, provides the IMF with official financing assurances,” Georgieva
said.
She said she strongly endorsed the committee’s call
“for private creditors and other official bilateral creditors to commit to
comparable debt treatments.”
The restructuring, the IMF said, should involve the
same terms for creditor countries and private lenders — in exchange for
Lusaka’s commitment to undertake profound economic reform.
In 2020, as the COVID-19 pandemic battered Africa,
Zambia became the first country on the continent to default on its foreign debt
— estimated at $17.3 billion.
Last December, Zambia reached tentative agreement
with IMF staff to provide $1.3 billion in support funds, but only if it took
credible steps to reduce its debt load to levels deemed sustainable.
In a statement Saturday, Georgieva said that the IMF
Executive Board could now “consider approval of a Fund-supported program for
Zambia and unlock much-needed financing from Zambia’s development partners.”
The IMF chief added: “International partners are
coming together to help countries resolve their debt issues, sending a strong
signal to other countries looking to restore debt sustainability, achieve
sustainable growth and poverty reduction.”
Lusaka, for its part, welcomed the official
progress.
Finance Minister Situmbeko Musokotwane said in a
statement that Zambia was committed to implementing necessary reforms, to being
transparent about its debt, and to dealing with its creditors in a fair and
equitable way.
Since the election last year of President Hakainde
Hichilema, the country has made progress in restoring relations with donors.
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