CHINESE DEBT RELIEF TO ZAMBIA WILL NOT LEAD TO AN AUTOMATIC ECONOMIC REBOUND
Public Policy Analyst Choolwe Beyani says Chinese debt relief to Zambia will not lead to an automatic economic rebound.
Zambia has been granted a debt service suspension initiative by the Chinese government and on all concessional facilities and given a one-year grace period and suspension of three years of repayment.
But Dr Beyani tells Phoenix News that the debt suspension for 2021 amounting to US$426.3 Million and US$225 Million which have been suspended and rescheduled will not significantly impact positively on the current economic outlook.
Dr Beyani argues that as much as the debt relief is welcome, Zambia’s indebtedness on the Eurobonds is very unsustainable to be cushioned by the Chinese debt suspension.
PHOENIX FM NEWS