A plan to restructure Zambia debt has been delivered to the country’s official creditors, according to a representative for the government’s advisers who spoke on Monday.
The nation, which was the primary victim of the COVID-19 epidemic and has been in default since the year 2020, said on Friday that it will present a first fully-formed proposal for debt restructuring with China and other government creditors.
“We can confirm that the proposal has been sent,” a spokeswoman working with advisers to the government in Lusaka said. “We can confirm that.”
Even though Zambia has designated more than $18 billion of its debt for reorganization, progress has been sluggish. This is because Zambia’s primary creditors, particularly China, are concerned about the level of debt reduction that would be needed.
