Zambia Debt Deal Reached After 3 Years, But Flaws in Process Raise Doubts About G20 Program

Zambia reached a debt deal with creditors after 3 years in default, marking a success for the G20's Common Framework, though many remain doubtful of its efficacy due to long delays
The Framework was designed to expedite debt talks between various creditors, but Zambia's experience exposed disagreements around burden sharing and transparency
Zambia's delays curtailed economic growth and investment; lessons learned may help Ghana and other nations, but communication issues persist
The IMF aims to address flaws, sharing revised debt sustainability analyses sooner and convening creditors to solve problems
Even with improvements, some doubt the Framework given the years it took Zambia to restructure debts