DEBT WAS TO GOBBLE 70% BUDGET – MUSOKOTWANE
Minister of Finance and National Planning Situmbeko Musokotwane says debt restructuring is the only viable option, otherwise the country would have been spending over 70 percent of the national budget on repayments.
And the International Monetary Fund (IMF) and World Bank say the success of the debt restructuring process is a critical step for rebuilding the trust Zambia has with its lenders.
The two Washington lenders have also urged Zambia and the remaining creditors who have not yet agreed to debt restructuring to expedite the process to help the country accelerate towards economic recovery.
During a public forum on debt yesterday, Dr Musokotwane said Government engaged all creditors on postponement of debt repayments because the country could not have been managed well with a huge burden of debts.
He said only 23 percent of lenders are remaining to agree with debt restructuring process after agreeing in principle with official creditors and bondholders.
ZDM