China’s Export Import Bank of China (EXIM CHINA) has announced that it is suspending Zambia’s interest and principal payments on sovereign loans totaling $110 million due between 1st May and 31st December 2020.
Secretary to the Treasury Fredson Yamba has announced in a statement issued this evening.
Below is the full statement:
The Government of the Republic of Zambia (the “Government”) is pleased to announce that the Export Import Bank of China (“Exim China”) has advised that it is suspending, within the framework of the G20 Debt Service Suspension Initiative (DSSI), the payment of all interest and principal on sovereign loans amounting to US $110 million due between 1st May and 31st
December 2020.
The move is aimed at helping Zambia ease the debt and liquidity pressures as Zambia mobilizes the necessary resources to fight the COVID-19 pandemic.
Reaching this agreement is an important milestone for Zambia as it undertakes steps to ensure broad based debt relief and equal treatment of creditors in its debt relief efforts.
Government is thankful to the Authorities in China for this debt service suspension and for the friendly relations that exist between the two countries.
This is the second creditor from China to provide relief to the country following a similar gesture by the China Development Bank.
While this this is bilateral debt, we will continue to engage private Chinese lenders based on friendly consultations.
As earlier indicated Government will be transparent in the process of debt relief and will continue to work with all our creditors to reach similar interim agreements around the
deferral of both principal and interest payments.
Such interim debt service deferment agreements will also provide the Government with the necessary time to complete its overall debt strategy aimed at restoring public debt
sustainability.
Issued By:
Fredson K. Yamba
Secretary to the Treasury
Let’s pass thanks to China Exim Bank for this wonderful gesture.
This is nkhongole, it is still there. So don’t get excited dear failures
If you are happy the you recklessly borrowed and even struggling to pay back, give Chikwanda the grand eagle at the next invesrure ceremony, demonstrate to us the you are really happy
Our economic challenges started way before Covid 19, so these deferements as temporal as can be. Derements are not a guarantee to anything
Hooohh so there no strategy yet!? So indeed the so-called vice president was lying or was it the usual of “just say something” in parliament?
Do both Edgar and Inonge even understand what Fedson Yamba writes? Do Edgar see his beer boy Chris Mvunga in the above article? Ba Edgar don’t be shy, send Inonge to HH to get explanation about that $110 million tiny peace of $17 billion debt.
This should be looked into seriously. China will give us TCs tight to it. It could more Chinese in Zambia or more loans from China.
The Chinese have no choice……their under cover migration to zambia would be in jepardy if they refuse ……..also they have no recourse to use western or world debt recovery systems…
Their indiscriminate lending to rogue regimes will soon come back to bite them.
Ati default kwisa hahaha. The evil diasporans are now producing foam at the mouth in anger, wondering how this has happened. Zambia is a Christian nation..your prayers for us to do bad will never work. You evil dogs. Tukala twenu
This is what I call true friendship between Zambia and China. We need to look out for one another. Thank you China
Look at how the PF cadres are celebrating.
We have serious problems in Zambia.
The Chinese will collect one way or the other.
How much exactly has Lungu, and his thieving friends, borrow from China?
Has the dual carriage way from Lusaka to Ndola been completed? What happened to the money that was borrowed for this?
Expect at least 3 million Chinese resulting in a population explosion of 22 million Chambians. Mushanga sellers will soon be Chinese
Iwe Chimbwi Kaiser
Uleke buchimbwi.
China has not written off Zambia ‘ massive debt for an id10t like you to celebrate. Instead it has agreed to increase the Zambia ‘s debt by compunding the interest without Zambia receiving extra loan funds. In other words Zambia has borrowed invisible money again to increase it’s debt.
In simple language for you daft Kaiser, it means the interest not paid has been added to the money borrowed so that next time Zambia pays the interest will be more.
This this is definitely a stupid way Lungu and PF are quickly auctioning Zambia to China.
Kaiser you are a very useless advisor to Lungu. Because the only good advise you give Chakolwa Lungu is how to drink Jameson and bonk mahule. In this department Lungu and PF are doing fine. On other…
mulachula Ba UPND…………even where you sleep is chinese…..why do you behave like somalian who hate America but when you check in their wallets they move with USDOLLARS……Your hate for China will make your animal farm party continue loosing elections until 2101.