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IMF raises Zambia’s debt to $1.7 billion, approves $570 million installment

Published

6 months ago

June 27, 2024

The Extended Credit Facility for Zambia has undergone a third assessment, and the International Monetary Fund (IMF) has announced that its executive board has approved the immediate disbursement of about $569.6 million.

The Fund’s board also approved a request to boost funding from $1.3 billion to $1.7 billion to assist the nation of southern Africa in dealing with a severe drought that has impacted electricity generation and resulted in agricultural losses.

IMF representative, Antoinette Sayeh stated in a statement that while tackling humanitarian issues brought on by the drought, Zambian authorities have achieved progress on structural and economic reforms.

“Going ahead, coordinated macroeconomic policies, continued efforts to restore fiscal and debt sustainability, and consistent reform implementation would be key to addressing the impact of the drought, preserving macroeconomic stability, and bolstering growth,” said Sayeh, the Fund’s deputy managing director.

Rich in copper After a debt restructuring procedure that lasted more than three and a half years, Zambia managed to pull itself out of default this month. The experience served as a lesson for the G20’s Common Framework mechanism, which is intended to assist low-income nations in addressing unmanageable debt loads.

Extended debt restructuring has hindered investment, limited economic expansion, and put a strain on regional financial systems.

To assist pay off external debt and deal with the drought, Zambia’s finance minister requested last week that the parliament authorize an additional 41.9 billion kwacha, or $1.65 billion, in spending.

On the slopes of the magnificent, active Mount Bromo, the Tenggerese people of Indonesia have been performing an age-old ceremony for decades.

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Moroccan annual inflation rises to 0.8% in November

Published

2 days ago

December 21, 2024

Ifeoluwa Dada

Morocco’s statistics office has confirmed that the country’s annual inflation rate, as determined by the consumer price index, increased from 0.7% in October to 0.8% in November.

Monthly, consumer prices decreased by 0.2% from October.

The primary driver of inflation, food costs, grew by 0.8% compared to the previous year, while non-food inflation climbed by 0.7%. Core inflation, which does not include more erratic items like food, increased 2.6% annually and 0.2% monthly.

According to the central bank, inflation is expected to average 1% this year, down from 6.1% last year.

Despite the Al-Haouz earthquake, a spike in inflation, and worldwide economic challenges, Morocco’s GDP grew by 3.4% in 2023.

A recovery in tourism, robust industrial exports, and rising private consumption—all bolstered by prudent macroeconomic policies—were the main drivers of growth.

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Nigeria’s $42bn foreign reserves enough for 9 months’ imports— Central Bank

Published

3 days ago

December 20, 2024

Ifeoluwa Dada

According to Olayemi Cardoso, Governor of the Central Bank of Nigeria (CBN), the nation’s $42.01 billion in foreign reserves can cover imports of goods and services for almost nine months.

Cardoso promised Nigerians improved economic fortunes in 2025 while addressing the Senate Committee on Banking, Insurance, and Other Financial Institutions yesterday in Abuja at the presentation of the performance index report.

Cardoso stated: “External Reserves rose from $ 38.35 billion it was on September 30, 2024, to $ 42.01 billion as of December 12, 2024”.

He clarified that third-party receipts in Q3 2024 and revenues from taxes connected to crude oil were the main drivers of the rise in foreign reserves during the specified time.

“We saw remarkable improvements in our trade balance and maintained a current account surplus,” he added.

“Our external reserves level can finance over 9.09 months of import of goods and services or 13.91 months only, higher than the international benchmark of 3.0 months and a robust buffer against shocks”.

On cash shortage, the CBN boss reiterated the N150 million fine against any branch of banks caught illegally distributing new Naira notes to currency hawkers and unscrupulous elements and said the Nigerian economy will improve in 2025 through policies and measures.

He predicted a stronger economic future: “Despite our economy’s challenges, there are clear reasons for optimism.

“The gradual stabilization of the forex market, ongoing banking sector recapitalization, and positive growth trends in key sectors, especially the services sector, indicate a path toward recovery and stability.”