LUSAKA, Dec. 26 (Xinhua) -- Zambia and Saudi Arabia signed a debt restructuring agreement on Thursday to reschedule part of Zambia's debt owed to the Arab nation.
The agreement was signed by Zambian Minister of Finance and National Planning Situmbeko Musokotwane and Chief Executive Officer of the Saudi Fund for Development Sultan bin Abdulrahman Al-Marshad, during a ceremony in Lusaka, the Zambian capital.
Under the agreement, the two countries will reschedule more than 130 million U.S. dollars of Zambia's debt to Saudi Arabia. Al-Marshad said that the agreement signifies the ongoing development partnership between the two nations.
Moreover, the two countries signed another agreement approving a 35-million-dollar loan to finance the construction of the King Salman Specialized Hospital in Zambia.
Musokotwane said that the debt restructuring agreement formalizes a shared commitment to addressing Zambia's debt, ensuring fiscal sustainability and fostering economic growth.
"This bilateral agreement is a result of our constructive dialogue and collaboration, for which we deeply thank the Saudi Fund for Development and its leadership," he said.
