Magande Questions Govt’s Hurry To Sell $750M Eurobond

Magande Questions Govt’s Hurry To Sell $750M Eurobond

Government has been challenged to explain to the nation why it has opted to resale the US$ 750 million Eurobond four years ahead of its maturity.

Former Finance Minister Ng’andu Magande says he finds it very difficult to understand why government does not want to wait until the Eurobond matures in the year 2022 before selling it.

Mr. Magande says the impression he is getting from this hurried decision, is that government has already projected that the US$ 750 million Eurobond is giving Zambia problems.

MagandeIn an interview with QTV News by telephone Mr. Magande is also wondering whether it is the Zambian government that is interesting in selling the debt or the Turkish company that is interesting in buying it.

Mr. Magande, who was Finance Minister under the Patrick Mwanawasa MMD government, notes that if it is government that is interested, Zambians should know how the said Turkish company was selected.

He says this is especially that there are many private equities who deal in the financial market all over the world.

Mr. Magande states that government should also tell the nation whether or not conditions the Turkish private equity is offering are favorable than what it is paying in interest rates towards the Eurobond.

He says Zambian citizens further want to know whether or not conditions the Turkish company is offering are better than International Monetary Fund (IMF) loan conditions.