Maputo — Mozambique’s renewed efforts to solve its spiralling "secret debt" crisis have again collapsed, leaving the country struggling to recover its reputation as one of Africa’s potential growth hotspots. Last week, Finance Minister Adriano Maleiane flew to London to present creditors with a long-awaited restructuring plan for the $2.2bn debt that Mozambique has defaulted on since last year. Maleiane presented options including a massive write-down, low interest rates until 2023, and a partial swap for a local long-term debt. All his proposals were dismissed by the Global Group of Mozambique Bondholders, which says it represents most of the holders of the eurobond debt and commercial loans to state-owned companies. The bondholders sharply criticised the proposed repayment plans, saying "the main lines of debt restructuring do not serve to start any conversation leading to a workable resolution". Mozambique was forced to admit in 2016 that the loans had been kept secret and were s...
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