× Business BUSINESS MOTORING SHIPPING & LOGISTICS DR PESA FINANCIAL STANDARD Digital News Videos Health & Science Lifestyle Opinion Education Columnists Moi Cabinets Arts & Culture Fact Check Podcasts E-Paper Lifestyle & Entertainment Nairobian Entertainment Eve Woman Travelog TV Stations KTN Home KTN News BTV KTN Farmers TV Radio Stations Radio Maisha Spice FM Vybez Radio Enterprise VAS E-Learning Digger Classified Jobs Games Crosswords Sudoku The Standard Group Corporate Contact Us Rate Card Vacancies DCX O.M Portal Corporate Email RMS
×

Ethiopia among latest countries to get Paris Club debt relief

BUSINESS
By Reuters | June 10th 2020

The Paris Club of creditor nations have agreed to suspend debt service payments from Chad, Ethiopia, Pakistan and Republic of Congo as part of a G20 debt relief deal, the group said.

The Group of 20 leading economies and the Paris Club, an informal group of state creditors coordinated by the French finance ministry, agreed in April to freeze debt payments of the 77 poorest countries this year to free up cash to fight the coronavirus pandemic.

The latest agreements bring to 12 the number of countries to receive debt relief under the deal with a total of $1.1 billion in debt deferred as a result, the Paris Club said, adding 30 countries had requested to benefit.

The Group of 20 leading economies and the Paris Club, an informal group of state creditors coordinated by France’s finance ministry, agreed in April freeze the debt payments of the 77 poorest countries this year to free up cash for them to fight the coronavirus pandemic.

However, some debtor countries have hesitated to sign up, fearing that it could hurt their credit rating after ratings agencies said a failure to pay private creditors who had agreed to suspend debt payments in parallel with the Club could be considered a default.

Kenya’s Treasury Cabinet Secretary Ukur Yattani told Reuters in May that this was one of the reasons Nairobi would not apply.

So far, the Paris Club has signed agreements only with the Caribbean islands of Dominica and Grenada, and Mali and Nepal, the French source said.

Share this story
Boeing restarting commercial airplane production next week
Boeing said it will resume commercial airplane production next week in Washington state after suspending operations last month
Survey: Why 40 pc of workers want to quit their jobs
More than half of 18 to 25 year-olds in the workforce are considering quitting their job. And they are not the only ones.
.
RECOMMENDED NEWS
Feedback