Zambia: Pilot Zambian Debt Relief Collapses

Failure of the protracted negotiations casts doubt on the G20 Common Framework for Debt Treatment.

Zambia’s imploding deals for debt relief from its many creditors have plunged the country’s fragile economic recovery into uncertainty. It also raises serious doubt over the G20 Common Framework for Debt Treatment for which Zambia was the main test case.

Last year, Zambia’s government secured a provisional deal to restructure US$6.3 billion of debt from official creditors – including China, France…