IMF, World Bank queries Zambia over rising debt

IMF, World Bank queries Zambia over rising debt

Zambia’ s Debt still a big Issue at IMF Spring Meeting

The 2018 Spring Meetings of the International Monetary Fund and World Bank Group
In Washington has just concluded.

Of concern to the IMF and World Bank is Zambia’s rising debt especially chinese  funded projects.

Further, the  IMF expressed concern with many floating sovereign guarantees issued by Zambia and flying around financial and commercial markets.

Recently government issued a $500million (half billion dollars) sovereign guarantee to Stag Energy.

Stag Energy was contracted to raise operational capital for ZESCO but is using the guarantee to speculate and discount it on the open market.

Stag’s partner in Zambia is Lusaka based lawyer Lewis Mosho.

LIST OF MAJOR LOANS (2011 – 2017)

1. Kenneth Kaunda International Airport: $360 million (2014)
2. Poverty reduction projects: $13.5 Billion (2012)
3. Poverty reduction programmes: $6.7 billion (2011)
4. 750MW Kafue Gorge Lower Power Plant: $1.7 billion (2015)
5. 360MW Kariba North Bank Power Plant Expansion: $430 million (2014)
6. Lusaka L400 roads: $300 million (2013)
7. Copperbelt International Airport (Ndola): $400 million (2017)
8. Lusaka de-congestion: $286 million (2017)
9. Communication towers: $280 million (2017)
10. Copperbelt C400 roads: $418 million (2015)
11. Chipata-Serenje railway line: $2.3 billion (2017)
12. Mongu-Kalabo Road: $287 million (2011)
13. 2,000 Military Houses: $157 million (2017)
14. Mansa-Luwingu road: $242 million (2012)
15. Water and sanitation programme: $135 million (2016)
16. Mbala-Nakonde Road: $180 million (2011)
17. Lusaka sanitation project: $130 million (2015)
18. Kafubu water and sanitation project: $104 million (2014)
19. National Heroes Stadium: $94 million (2011)
20. Levy Mwanawasa Hospital Expansion: $90 million (2015)
21. Kafulafuta Dam water project: $449 million (2017)
22. Housing project for security wings: $275 million (2015)
23. International Development Assistance programme: $600 million (2017)
24. Rural roads project (World Bank): $200 million (2017)
25. Environmental Remediation and Agribusiness Development: $106 million (2016)
26. Miscellaneous small loans: $300 million (estimate)
27. Debt position of previous government up to 2011: $3.5 billion
TOTAL EXTERNAL DEBT: $33.5 billion

ANNUAL EXTERNAL DEBT SERVICING
2011: $229.6 million
2012: $230.1 million
2013: $325.9 million
2014: $396.0 million
2015: $507.3 million
2016: $660.0 million (estimate)
2017: $800.0 million (estimate)
TOTAL: $3.1 billion

ESTIMATED NET EXTERNAL DEBT: $30.4 billion

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