Secretary to the Treasury Fredson Yamba has dismissed predictions that the country will default in repaying its Eurobonds.
Mr. Yamba says the country will be able to make its first interest payment as well as repay the three Eurobonds.
He says this is why government has created a sinking fund in which money will start put next year.
Mr. Yamba notes that contrary to assertions that the sinking fund has been created late, it is not too late as the fund will be able serve the purpose it has been created for which is saving money for repaying the Eurobonds.
He explains that what the country has borrowed so far including the three Eurobonds is within the country’s projected borrowing figures and is within the country’s ability to repay back.
Mr. Yamba says there is no need to fear that the country might default in repaying the three Eurobonds as this is something that was planned for and is continuously being accessed.
He further states that apart from the sinking fund, government is also looking at other options such as refinancing debt among others that would help repay back the debts.