Zambia emerges as a test case as China joins debt relief talks

Beijing's consent to negotiate sets potential precedent for other indebted nations

20220804N Zambia Hichilema

Zambian President Hakainde Hichilema has been working to secure support from the International Monetary Fund. © Reuters

TAKESHI KUMON, Nikkei staff writer

CAIRO -- Zambia has moved closer to a debt workout after top creditor China agreed to negotiate restructuring terms, potentially setting a precedent for a multilateral framework as other low-income countries struggle to repay loans from Beijing.

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