Zambia says restructuring cuts annual external debt service by $1.4bn; moves to buy back remaining Eurobond

On 11–12 June 2026 President Hakainde Hichilema said Zambia’s external debt restructuring has lowered annual external debt service to about US$900 million, freeing roughly US$1.4 billion a year, and that the government has initiated a buyback of the remaining Eurobond as the next step in debt management.

Lower external debt service reduces near-term rollover pressures and creates fiscal space for domestic priorities, which can compress sovereign risk premia if policy credibility holds. The benefit depends on execution: the announced Eurobond buyback must complete without large cash drains or market disruption, and continued prudent fiscal policy and commodity revenue performance are required to sustain lower borrowing costs.

Confirm completion and terms of the Eurobond buyback and any official debt sustainability updates from the Zambian government or creditors.