Zambia’s debt needs to be critically restructured -Yellen

(FILES) In this file photo taken on June 07, 2022 US Treasury Secretary Janet Yellen testifies before the Senate Finance Committee on the US President's proposed budget request for fiscal year 2023, on Capitol Hill in Washington, DC. - The United States is in talks with allies to further restrict Russia's oil revenues by capping the price it would get for its crude, US Treasury Secretary Janet Yellen said during a visit to Canada on June 20, 2022. (Photo by Nicholas Kamm / AFP)

The U.S.Treasury Secretary, Janet Yellen said on Monday during a visit to Zambia that it was critically important to restructure Zambia’s debt.

Yellen said that Zambia’s debt overhang was a drag on its whole economy and that China had been a barrier to reaching a resolution on the southern African country’s debt problem.

She said Zambia must address corruption and that President Hakainde Hichilema, who took charge in August 2021, had made progress doing so.

Yellen is on a three-country visit to Africa. In Senegal she said Russia’s war in Ukraine was hitting Africans particularly hard by exacerbating food insecurity.

She also said that the war was putting an unnecessary drag on the continent’s economy.

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