S. Africa Again Delays Repaying Debt Principal

The government announced Tuesday that payments on the principal of foreign loans will be postponed again, until March 1. The country is in the grip of recession, inflation and high unemployment, which have exacerbated its conflict over apartheid.

On Sept. 1, President Pieter W. Botha’s government froze repayment of principal on the $24-billion foreign debt and said payments would be resumed Jan. 1.

The extension to March 1 reflects difficulty in arranging a new payment schedule satisfactory to bankers in the United States and Europe. These bankers have become concerned about the effects on the economy of continued rioting against white-minority rule under the nation’s apartheid system of racial separation.

That lack of confidence caused bankers to call in short-term loans, rather than renewing them automatically, which sent the value of South Africa’s currency down further and prompted the repayment freeze.

The rand was worth about $1.25 four years ago, but hit a low of 34.8 cents just before the government acted Sept. 1.

Inflation, Joblessness

Compounding the economic problems are inflation running at a 16.8% annual rate and black unemployment estimated to be as high as 30%. The government does not keep complete statistics on black unemployment.

Meanwhile, police reported three more black deaths Tuesday in racial violence that has raged through this segregated nation for nearly 16 months.

One of the victims was a black policeman whose body was mutilated and burned. Police suspected he may have been killed by other blacks in a township near Pretoria.