, has approved the third review of Ethiopia's $3.4 billion loan programme, the IMF said on Wednesday, unlocking access to $262.3 million in financing for the East African nation as the country continues debt restructuring talks.){kind=link}
The executive board of the International Monetary Fund (IMF), has approved the third review of Ethiopia’s $3.4 billion loan programme, the IMF said on Wednesday, unlocking access to $262.3 million in financing for the East African nation as the country continues debt restructuring talks.
The approval coincides with the finalization of a Memorandum of Understanding on debt restructuring between Ethiopia and its Official Creditor Committee, co-chaired by France and China.
The draft deal, initially proposed in March, sets a path for restructuring $8.4 billion in debt and $2.5 billion in debt service relief through 2028.
This complex debt restructuring is part of the broader G20 Common Framework initiative.
Despite being in default since December 2023, Ethiopia has shown economic resilience, with notable growth and reduced inflation, according to the IMF.
Meanwhile, efforts are underway to address the $1 billion Eurobond, with bondholders opposing principal write-downs but acknowledging liquidity challenges.
Reuters/Kamila