Zambia will repay 23% of its debt to Bulgaria, or about USD 1.9 million, according to a draft agreement with the African country approved by the cabinet on Wednesday. The country will refinance the sum in four installments within a year after the accord enters into force. 

Bulgaria has decided to write off the remainder of Zambia's obligations, with the balance to be considered as official development aid for the country. 

The agreement between the two governments will provide for the settlement of debt that has been deferred more than 20 years, according to the cabinet's statement.