00:00Ethiopia is currently negotiating with its creditors to convert commercial loans into concessional loans,
00:06which could significantly lower the interest rates on its debt.
00:10During a recent address to Parliament, Prime Minister Abiy Ahmed stated that the nation's foreign debt
00:15has been reduced to less than $23 billion, prompting a halt on new commercial loan acquisitions.
00:22He outlined the government's strategy for managing foreign debt,
00:24focusing on restructuring existing loans to more favorable concessions.
00:30This initiative comes in the wake of previous implemented macroeconomic reforms
00:34that have already enabled the restructuring of between $4 billion and $4.5 billion in foreign loans.
00:42As the second largest economy in East Africa, Ethiopia began discussions last year to address its debt repayment challenges.
00:48As of September, the country's total external debt was reported to be over $23 billion.
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