China’s Role Looms Over Ethiopia’s Stalled Debt Talks With Bondholders

A shop owner counts Ethiopian Birr in his stall at the Shola Market in Addis Ababa on December 4, 2023. Michele Spatari / AFP

Ethiopia’s debt restructuring negotiations are facing renewed strain as private bondholders push back against objections from the Official Creditor Committee, led by China and France. 

Bondholders are complaining that they are being unfairly treated in comparison with bilateral lenders. China is the country’s largest bilateral lender. The bondholders say the creditor committee’s stance is delaying progress and could force them to pursue legal action over Ethiopia’s $1 billion Eurobond, which has been in default since 2023.

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by CGSP Staff

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