Why bondholders rejected Addis’ $1bn debt repayment plan
Aerial view of Addis Ababa. Ethiopia’s bid to restructure its $1 billion Eurobond has hit another roadblock, deepening uncertainty over the country’s access to international financing.
Ethiopia faces prolonged restrictions on international financing after talks on restructuring its $1 billion Eurobond collapsed for the second time in seven months, largely due to differing demands imposed by the bondholders and the bilateral creditors.
The setback means Africa’s second-most populous economy could be forced to look elsewhere for funding or ramp up domestic revenue mobilisation to finance its operations and support private investment.
