Economic Analyst Yusuf Dodia says the $3.5 Billion debt restructuring deal Zambia has clinched with the Eurobond holders is positive, but it will not answer to the challenges affecting Zambians such as the high cost of living and high fuel prices.
Yesterday, Zambia reached an agreement with the Eurobond holders to restructure over $3.5 billion of its external debt.
But speaking in an interview with RCV News in Lusaka today, Mr. Dodia said that the deal will have no immediate positive impact on the livelihoods of Zambians.
“The deal merely extends Zambia’s repayment plan of its debt with commercial lenders” said Mr. Dodia.
Mr. Dodia said that Zambia should now look to grow the economy to ensure that it manages to repay the debt when it matures 20 years from now.
He has also urged government to use the breather for repaying its debt to channel resources to key sectors that will grow the economy such as agriculture and mining.
By Angel Kasabo
