The International Monetary Fund (IMF) promises to review Ethiopia's eligibility for new credit facility in place of the concessional loan expired in Sept 2022.
It however depends on the debt restructuring that is being reviewed by the country’s major creditors, particularly China. Executives of IMF pledged to reinstate the facility expired last year if the restructuring succeed, sources said.
Ethiopia's debt stock has reached 56.4 billion dollars, half of which is owed to external creditors. The country expected to service almost two billion dollars of its external debt this year.
Understanding the difficulties faced by Ethiopia, the creditors committee formed to oversee its appliaction for debt restructuring was set to meet on Monday. Nothing has been said how the meeting went and whether China agreed to greenlight the restructuring.
