Zambia continues to grapple with nearly $7 billion in debt, despite a previous agreement with bilateral lenders last year that addressed over $6 billion of the debt.
The remaining $7 billion is owed to bondholders and commercial banks.
The country’s efforts to secure debt relief have been arduous, with a deal to restructure approximately $3 billion of debt with bondholders being rejected by official creditors in October.
Led by France, China, and South Africa, these creditors argued that the terms agreed upon by Zambia with bondholders did not align with the concessions granted by the official lenders.
Zambia’s journey through these challenges is closely monitored by Ethiopia and Ghana, who are next in line for debt restructuring.
Andrew Chibuye, the Country Senior Partner at PWC in Zambia, joins our show to shed light on the lengthy pursuit of debt relief by the copper-producing nation.
In other news, trade between China and Africa reached $282 billion in 2023, marking the 15th consecutive year that Beijing has been the continent’s largest trading partner.
Chinese exports to African nations increased by 7.5% to $173 billion, while imports from Africa saw a 6.7% decline to $109 billion, resulting in a trade surplus of $64 billion for China.
Meanwhile, Cameroon recently hosted a ‘Made in Africa’ expo, highlighting efforts by African countries to reduce reliance on the export of raw materials and commodities.
The event showcased manufacturers exploring opportunities presented by the African Continental Free Trade Area (AfCFTA) and foreign markets as they work towards industrialization amidst global challenges such as pandemics and conflicts.