Investors have regained appetite for Zambia after default, Citi says

Investors have shown renewed interest in Zambia following its exit from sovereign default, according to Citi. Lowani Chibesakunda, Citi’s country chief and banking head for Zambia, told Reuters on Tuesday that demand is rising, particularly in mining, energy, and agriculture, as fiscal consolidation gains traction. The bank executive linked the renewed appetite to Zambia’s copper position and to bullish copper prices driven by the clean-energy transition and growing power needs for AI data centres. Citi also played a role in Zambia’s debt management: the government secured 97.85% participation in a cash tender offer for $1.365 billion in outstanding notes launched May 29, with Citi acting as sole mandated bank. In November, S&P Global upgraded Zambia’s foreign-currency credit ratings to CCC+/C from SD, removing the default status, after projections of a budget deficit shrinking by more than half and growth above 6% in 2026.