This archive report was first published on 8 July 2021.
On July 7, 2021, Ethiopia announced plans to restructure an additional $1 billion of debt, a move aimed at freeing up funds to support its economic recovery amidst the global COVID-19 pandemic.
The plan, which excludes Eurobonds, will provide a six-year grace period and extend the maturity by ten years, according to the Finance Ministry.
This announcement comes after Ethiopia requested to rework its debt under the Group of 20 common framework in January this year, seeking debt relief from all creditors, including China and commercial lenders.
Notably, $2.5 billion in principal and interest payment has already been postponed for five years by commercial creditors under the first external debt restructuring scheme.
