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Significance
A deal under the G20 Common Framework for Debt Treatment was expected by end-2022. However, amid geopolitical tensions, China has been blamed for the delay by figures including US Treasury Secretary Janet Yellen and World Bank President David Malpass.
Impacts
The delay could put further strain on the kwacha, which has already lost 26% of its value against the dollar in just five months.
Although inflation is currently broadly under control, further depreciation may upset prices as Zambia is a net importer of many goods.
Alongside Western rhetoric, Musokotwane’s comments may complicate ties with China, a major creditor and a key consumer of copper exports.
Keywords:
Zambia,
AF,
China,
economy,
international relations,
politics,
debt,
fiscal,
foreign policy,
government,
monetary,
reform,
talks,
foreign investment,
mining
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2023
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