Zambia on track for default with investors set to concede

AdobeStock_Zambia_575x375_23Sept2020
By Mariam Meskin
24 Sep 2020

Zambia has requested to defer payments on $3bn of its dollar Eurobonds, in what could be the first default by an African sovereign during the coronavirus crisis. Bondholders said they were resigning themselves to accepting the deferral request.

Investors in Zambia’s Eurobonds have been asked to defer bond repayments until April 2021, the government announced on Tuesday.

Those bonds include a $750m 5.375% 2022 bond, a $1bn 8.5% 2024 and a $1.25bn 8.97% 2027.

"Their bonds are down by 5%-6% so far. Their ...

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