Ethiopia debt restructuring plan faces hurdles of transparency
By
David Whitehouse
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Posted on
February 8, 2021 11:31
Ethiopia’s plan to seek debt restructuring under a G20 common framework agreed in November triggered a sell-off in African debt at the end of January on fears of a contagion effect.
The framework enables debtor countries to seek an IMF programme to strengthen their economies and renegotiate their debts with public and private creditors. But such a debt restructuring for Ethiopia would face barriers due a lack of transparency, analysts say.
Any attempt to reconcile balance of payments and published public external debt figures with underlying debt-creating flows shows