Ethiopia-bondholder debt relief deal wins IMF backing
Bole Road in Addis Ababa on December 19, 2025. Ethiopia has reached a landmark deal with bondholders to restructure its defaulted $1 billion Eurobond, bringing its debt relief process closer to completion.
Ethiopia and its bondholders reached a landmark agreement on June 28 to restructure the country’s defaulted $1 billion Eurobond, clearing one of the final hurdles in Addis Ababa’s prolonged debt relief process.
The agreement has been welcomed by the International Monetary Fund (IMF) and official bilateral creditors, including China and France. It signals that Ethiopia’s debt restructuring is nearing completion and paves the way for the country’s gradual return to international capital markets.
