EximBank, one of Beijing's three policy banks and Zambia's single largest Chinese creditor, is the linchpin in China's Belt and Road Initiative that oversees infrastructure lending.
"Negotiations with the committee are progressing well and the IMF/World Bank DSA assumptions are one of the subjects under discussion," the finance ministry said in a statement to Reuters. China is Zambia's largest bilateral creditor, accounting for 75% of what the country owes to nations, including France and India.
Creditors and investors are closely monitoring how China, the world's largest bilateral lender, is managing debt negotiations around the world. China has tended to offer debt relief byChina and France agreed earlier this year to co-chair an official creditors committee to renegotiate Zambia's bilateral debts but had not yet specified who would represent each country.
The policy bank has extended to Zambia more than half of Chinese loans while a $982 million loan was made jointly with the Industrial Commercial Bank of China .for many nations unable to service their debt to moving ahead with debt-restructuring deals.in September it had agreed with China Development Bank and EximBank to extend maturities and reduce the amortization on $3.2 billion of loans.