LUSAKA, May 28 (Xinhua) -- The Zambian government announced on Tuesday that bondholders have unanimously voted in favor of the country's proposed debt restructuring deal.
Earlier this month, the government solicited consents from holders of its three Eurobonds. Minister of Finance and National Planning Situmbeko Musokotwane said there was overwhelming participation and that the outturn of the voting instructions was above the required minimum threshold.
"We are extremely pleased to see such high participation in our bondholder consent. Finalizing this agreement with bondholders will create the fiscal breathing space necessary for Zambia to remain on a trajectory of sustainable economic growth," Musokotwane said in a statement.
He said that after nearly four years since the country initially defaulted on its Eurobonds, the debt restructuring deal was close to completion. He also thanked the bondholders for their support.
Zambia holds three bonds due in 2022, 2024, and 2027. The country initially issued a 750-million-U.S. dollar Eurobond in 2012, followed by a second bond of 1 billion dollars in 2014 and a third bond amounting to 1.25 billion dollars in 2015.
In June 2023, Zambia reached an agreement on a comprehensive debt treatment with its official creditors, a significant step toward restoring the country's long-term debt sustainability. ■
