U.S. Treasury Secretary Urges China To Address Zambia’s Debt Burden

During her visit to Lusaka, Janet Yellen, U.S. Treasury Secretary, has urged China to address Zambia’s debt burden.

She urged China to listen to experts who say that the debt crisis could permanently stop countries such as Zambia from full economic recovery.

She said, “It’s critically important to address it right away.”

Ms Yellen also explained that she had “constructive” meetings with her Chinese counterpart before arriving in Zambia on Sunday.

 She explained her concern for the matter, saying “it’s taken far too long already to resolve this matter.”

Yesterday, she met with President Hakainde Hichilema and Zambia’s finance minister Situmbeko Musokotwane to discuss the ongoing situation.

President Hichilema outlined that he was working to address the situation and was aware of the severity of it as a significant hindrance to Zambia’s economic growth plan.

The trip was scheduled to promote U.S. investment in Zambia with Ms Yellen visiting Mylan Labs, a U.S.-backed drugs packaging firm, and Zambia’s National Public Health Institute.

Ms Yellen said, “We want to deepen our engagement,” she said “We see a rapidly growing young population that needs opportunities and economic growth.”

“We have many government programs and international programs that are oriented to help efforts to build infrastructure,” she said. “And when we do that, we want to make sure that we don’t create the same problems that Chinese investment has sometimes created here.”

However, the treasury secretary insists that her trip is not about competition with China.

As Zambia ramps up its foreign direct investment the entrance of countries such as the U.S. provides an important platform for Zambian businesses providing employment opportunities.