Zambia’s government has confirmed that a third party has expressed interest in assuming part of the country’s debt owed to the African Export-Import Bank (Afreximbank), offering a potential avenue to ease the nation’s financing burden, according to Reuters.
Finance Minister Situmbeko Musokotwane disclosed the development in Lusaka on Thursday, noting that the proposal is being reviewed as part of the government’s broader strategy to stabilize debt repayments and improve liquidity. While he declined to name the party involved, Musokotwane said the offer aligns with Zambia’s ongoing efforts to restructure its debt under the G20 Common Framework.
Zambia, which became the first African country to default during the pandemic in 2020, has been working with creditors to restore fiscal stability. The government recently concluded key restructuring agreements with bilateral and commercial creditors, but obligations to Afreximbank and other regional lenders remain under discussion.
Musokotwane emphasized that any decision would be made cautiously to protect national interests and ensure transparency. Analysts say a debt transfer arrangement could give Zambia temporary relief while maintaining access to critical credit lines for infrastructure and trade, Bloomberg and Reuters reported.
