LONDON, June 27 (Reuters) - Zambia's international bondholders expect to strike a debt restructuring deal with the country "in the coming weeks", a leading member said on Tuesday, a move that would draw a line under the nation's near three-year stint in default.
"So I think we (bondholders) can now reach a deal in the coming weeks."
Daly said that was something bondholders themselves had called for when restructuring talks became stalled last year over how much debt relief would be required.
"The adjustment mechanism provides for an accelerated repayment schedule and higher interest rates if Zambia's debt carrying capacity improves from the current 'weak' classification to 'medium' classification," he said.
While China has rejected writing off some of the debt altogether, bondholders could still do that, Daly added.
Persons:
Hakainde, Kevin Daly, Daly, Situmbeko Musokotwane, Marc Jones, Chris Mfula, Libby George, Christina Fincher, Ed Osmond, William Maclean
Organizations:
International Monetary Fund, Zambian Finance, IMF, World Bank, Thomson
Locations:
China, Zambia, Sri Lanka, Ghana, Lusaka