Zambia planning to re-finance its Eurobonds
They are totalling $2.8 billion.Zambia will be looking to refinance its Eurobonds next year, Finance Minister Felix Mutati, has announced.
The bonds, which total around $2.8 billion (€2.6 billion), were launched between 2012 and 2015 to finance infrastructure and boost the economic development of the country.
"The strategy for the Eurobonds next year is refinancing. We want to refinance the Eurobonds and get longer dated bonds at a bit of lower cost so that we minimise our debt," he said, quoted by Reuters.
According to figures from the ministry, the equivalent of 19 per cent of Zambia's gross domestic product (GDP) is currently being used to service debt.
"We want to reduce that to somewhere around 15 per cent, so that the release of resources can be used to support the vulnerable," he said.
Zambia issued a $750 million Eurobond in 2012 followed by another $1 billion bond in 2014 and another worth $1.25 billion in 2015.