IMF Cash for Chad on Hold as Creditors Refuse Debt Relief
- Elevated oil prices undermine case for loan concessions
- Chad was first nation to apply to use G20 Common Framework
This article is for subscribers only.
The International Monetary Fund can’t disburse more money to Chad under an agreed $570.8 million bailout unless reluctant creditors agree to revamp part of the nation’s debt, the deputy head of its Africa Department said.
Chad, which relies on oil for 80% of exports and nearly 40% of government revenue, asked for its loans to be reworked after the coronavirus pandemic caused fuel prices to plunge. But crude has soared since Russia’s invasion of Ukraine, and remains elevated -- so much so that the nation’s official creditors committee concluded last month that debt relief for the African nation was no longer warranted. The committee includes China, France, India and Saudi Arabia.