Africa Is Already Moving Past Defaults, Citigroup Economist Says
- Active IMF support, growth dynamics reduce risks, he says
- Risk spread on Africa credits has fallen from distress levels
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The probability of another sovereign debt default in Africa in the near term is practically zero, according to Citigroup Inc. economist David Cowan, who cites rebounding growth and multilateral support as the cushioning factors.
“We’ve reached a point now whereby the immediate threat of default has probably receded,” Cowan, a managing director and economist covering Africa at Citi Research, said in an interview with Bloomberg. “I don’t think anyone expects a default in the next six months.”