Musings From Abroad

China, Zambia’s major creditor, cooperating on debt rework— Official

Published

9 months ago

March 27, 2024

A spokesperson of Zambia’s foreign ministry has stated that one of its major creditors, China, has remained supportive of Zambia’s debt restructuring.

The diplomat did not, however, disclose whether China approved of a planned agreement the country in southern Africa made with foreign bondholders.

On Monday, Zambia and the bondholder group announced that they had come to a fresh understanding to restructure $3 billion in foreign notes. The proposal was given the go-ahead by Zambia’s formal creditors, the largest of which is China.

On Monday, Zambia announced that it has reached a deal with a group of private creditors on the restructuring of $3 billion of its foreign notes, which is a noteworthy achievement that brings the country closer to ending its lengthy debt restructuring.

Being the first nation in Africa to miss payments on its foreign debt during the Covid-19 outbreak, they have expressed a strong desire for the debt to be restructured. Unfortunately, the protracted delays in the process have strained the local financial systems, impeded desperately needed investments, and delayed economic progress.

Zambia defaulted more than three years ago and its debt rework process has hit many obstacles, including in November when the official creditors rejected a previous bond deal because it did not offer comparable debt relief to theirs.

“China, as co-chair of the Zambian Debt Committee, has made concerted efforts with all parties concerned to promote significant progress in the disposal of Zambia’s debt,” Lin Jian, a spokesperson for China’s Ministry of Foreign Affairs, said in a regular press conference.

“China will also continue to coordinate and cooperate with all parties concerned to steadily advance the work related to Zambia’s debt disposal,” he said when asked for China’s response to the latest bondholder deal.

Related Topics:China Debt restructuring Featured Zambia

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Musings From Abroad

Seeking to expand ties in Africa, Indonesia’s Prabowo attends D-8 economic meeting in Egypt

Published

2 days ago

December 18, 2024

Ifeoluwa Dada

According to the government, Indonesian President, Prabowo Subianto, travelled to Egypt on Tuesday to attend meetings of the D-8 Organisation for Economic Cooperation, a group of eight significant Muslim developing nations.

To enhance collaboration between the nations spanning from Southeast Asia to Africa, the D-8 was formed in 1997 and consists of Bangladesh, Egypt, Indonesia, Iran, Malaysia, Nigeria, Pakistan, and Turkey. Beginning in January 2026, Indonesia will serve as the group’s chair.

Prabowo said that he would meet with Abdel Fattah al-Sisi, the president of Egypt.

“Egypt is our close friend, our strategic partner and an important country in the Middle East,” he said before his departure, adding he would also meet the Egyptian business community.

He would go to Malaysia from Egypt and then return to Indonesia.

Since taking office in October, Prabowo has stated that his administration will uphold Indonesia’s long-standing non-alignment foreign policy.

Since winning the presidency earlier this year, he has been to more than 20 nations, including China, the US, Japan, and Russia.

Musings From Abroad

UN warns Sudan rebels may be getting weapons in Chad from UAE cargo planes

Published

6 days ago

December 14, 2024

Ifeoluwa Dada

Flight data and satellite photographs reveal that dozens of UAE cargo planes have landed at a small Chad airstrip since Sudan’s civil war began last year, which some U.N. experts and diplomats fear is being used to transport guns into the fight.

At least 86 UAE planes have landed at Amdjarass airfield in eastern Chad since the war started in April 2023.

According to flight data and business records examined by Reuters, three-quarters of them were operated by airlines accused by the U.N. of transporting Emirati weaponry to a Libyan warlord.

The UAE, a key Western partner in the Middle East, insists it sends Sudan aid through Chad, not armaments.

The UAE denied “credible” allegations that it was supplying Sudan’s Rapid Support Forces (RSF), a paramilitary group fighting the Sudanese army in a conflict that has killed tens of thousands and displaced millions, via the Chad airstrip in January.

Reuters uncovered footage from Amdjarass this year, revealing two pallets loaded with khaki containers, some labelled with the UAE flag, on the tarmac.

Reuters is obscuring the footage’s date and provenance for fear of reprisals.

Three weapons specialists, two of whom were U.N. inspectors, said the containers were unlikely to convey humanitarian material, generally bundled in cardboard boxes coated in plastic and stacked high on pallets due to its lightweight. The footage shows metal containers packed low on pallets.

One U.N. weapons inspector said the contents were “highly probably ammunition or weapons, based on the design and colour of boxes,” but requested anonymity due to the sensitivity of the information.

He stated that right-hand pallet cases are long and slender, suggesting weaponry.

Reuters could not independently verify the containers’ contents. The filming date is being withheld to protect the source.

The UAE government told Reuters it has deployed 159 relief planes with more than 10,000 tonnes of food and medical assistance to feed its Amdjarass field hospital.

“We firmly reject the baseless and unfounded claims regarding the provision of arms and military equipment to any warring party since the beginning of the conflict,” the statement said.

To counter Islamist militants, the oil-rich Gulf kingdom has interfered in crises from Yemen to Libya since the Arab Spring protests of 2011. The UAE views Muslim Brotherhood and other groups as threats to internal stability.

In Sudan’s army, Islamists affiliated with deposed President Omar al-Bashir have long held power.

Senior RSF official Brigadier General Omar Hamdan rejected foreign help. He told Nairobi media on Nov. 18 that Sudanese firms made its guns and ammunition. The RSF declined to comment on this topic.