Could Zambia’s Soaring Debt be Managed more Prudently?

At a recent media conference, Zambia’s president, Edgar Lungu, vowed to contain spiraling national debt amidst more imminent borrowing.

Before his promise, several local and international media outlets had reported on the looming debt crises in Zambia, which President Lungu dispelled.

In his words, “Zambia is not in a position of a crisis…Zambia can repay its debt.” But regardless of Lungu’s rhetoric, Zambia’s current economic indices tell a tale of a country struggling due to high debt hangover, adverse climatic conditions, and bad policies.

What is even more worrisome is that the bulk of these debt stocks are owed to external lenders with interests and repayments constituting huge capital flight from Zambia. The current high debt overhang has dire consequences on Zambia’s economy and more importantly, on Zambians…..

To read more, check full article on Business Insider SSA.

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