The administration of President Edgar Lungu has accumulated massive debts in recent years, much of it for large-scale infrastructure projects. The level of debt has now blown out to around $12 billion (€9.97 billion), half of which comes from private creditors.
Is Zambia in a debt crisis?
Zambia’s external public debt has risen dramatically in recent years, particularly since 2012. According to official figures, the debt reached 9.4 billion USD by mid-2018. In addition, the government guaranteed for loans to its state-owned companies totalling 1.2 billion USD.
Who owes Zambia money?
Zambia owes around $3 billion to Chinese entities. Private creditors have blamed a lack of transparency regarding that debt for hampering talks with the government. Beijing regularly offers debt reprofiling when borrowers have trouble paying.
Is Zambia in debt to China?
Zambia owes over USD 3 billion to Chinese entities of a total of USD12 billion in external debts. China’s presence is visible all over Africa. … The country’s sovereign debt reached 96 per cent of GDP in 2020, while the country has started defaulting on loans in 2019 itself.
How much debt does Africa owe?
As a proportion of gross domestic product and of export earnings, Africa’s debt of about $350 bn is the highest of any developing region. The high debt levels impede public investment in infrastructure and human development and this in turn deters private investment.
Is Zambia rich or poor?
However, despite its economic growth, Zambia is still one of the poorest countries in the world with 60 percent of the population living below the poverty line and 40 percent of those people living in extreme poverty.
Why is Zambia in so much debt?
Zambia’s debt crisis coupled with the coronavirus pandemic is proving a double blow for the country’s 17 million people. Zambians have been hard hit by rising food prices and job losses during the pandemic. And the nation’s debt crisis means the government has limited resources to help.
How does Zambia benefit from China?
Chingola Chamber of Commerce and Industry President Fred Musonda said Zambia was benefiting from China in economic development, such as improved trade with the Asian nation. “We have been getting good news from China that the Asian nation wants to import goats and sheep as well as blueberries.
Why does China want Zambia?
China’s primary ambition in Zambia is its access to copper. … Trade between the two countries grew 25-fold between 2003 and 2009 and during that same period, 98% of Chinese investment in Zambia targeted the mining and manufacturing sectors.
Does Zambia have free healthcare?
At present, Zambia provides the population with basic health care services free of charge at the primary health care level. The services that are available are set out in their National Health Care Package (NHCP).
Is Zambia safe?
Zambia is rated Level 1 for security (exercise normal precautions) and has few major security concerns. Visitors can avoid criminal activity by utilizing common sense measures provided below. Political activity, especially during national and local elections, can lead to civil unrest and low-level violence.
How many Chinese are in Zambia?
In recent decades, the population of Chinese people in Zambia has rapidly increased. There were 80,000 Chinese people living in Zambia according to a 2019 U.N. World Population study.
How much does South Africa owe China?
Of the $20.1 billion, about 75 per cent – $14.5 billion – is owed to the China Development Bank with $5 billion to the China Exim Bank. It has also borrowed from China’s largest lender, ICBC.
How much is China’s debt?
As of 2020, China’s total government debt stands at approximately CN¥ 46 trillion (US$ 7.0 trillion), equivalent to about 45% of GDP.
Who owns most of Africa’s debt?
As Africa’s largest bilateral creditor, China holds at least 21 percent of African debt — and payments to China account for nearly 30 percent of 2021’s debt service, as shown in the figure below. Angola alone accounts for almost a third.
Did Nigeria borrow money from China?
In total, Nigeria has agreed $5.6 billion in loans with China. But as of March 2020, Beijing had disbursed $3.3 billion. With Nigeria already servicing the loans, $3.1 billion was outstanding as of then.