Ethiopia said it aims to complete the restructuring process and implement the new bond instrument as early as possible in 2026. Ethiopia’s restructuring is being closely watched by other low-income and frontier-market countries grappling with unsustainable debt burdens. A successful outcome would strengthen the case that the G20 Common Framework can deliver results, even if slowly, for countries with diverse creditor bases. However, finalizing the deal will require securing sufficient bondholder participation, IMF sign-off, and continued implementation of domestic economic reforms. With growth pressures, social demands, and external financing needs still acute, Ethiopia’s debt challenge is far from over.

Source: Ethiopian News January 05, 2026 02:08 UTC