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Ethiopia Seeks Yuan Loans Amid $5.38 Billion Debt Restructure

10/23/2025

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Summary

Story summary

Ethiopia is negotiating with China to convert part of its $5.38 billion debt into yuan-denominated loans.
The talks follow Kenya's recent currency swap.
Eyob Tekalign, Ethiopia’s central bank governor, highlights China as a partner and benefits of a currency swap.
Zambia is watching Kenya's deal, which could save $215 million in interest annually.
Ethiopia, which defaulted in 2023, is restructuring $15 billion and aims to finalize creditor agreements by year-end.

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Story summary

Ethiopia is negotiating with China to convert part of its $5.38 billion debt into yuan-denominated loans.
The talks follow Kenya's recent currency swap.
Eyob Tekalign, Ethiopia’s central bank governor, highlights China as a partner and benefits of a currency swap.
Zambia is watching Kenya's deal, which could save $215 million in interest annually.
Ethiopia, which defaulted in 2023, is restructuring $15 billion and aims to finalize creditor agreements by year-end.