By Kizito CUDJOE, Johannesburg – South Africa
More than half of African countries are either in debt distress or teetering on the edge, showing the continent’s worsening financial predicament, Executive Director-African Forum and Network on Debt and Development (AFRODAD), Jason Braganza, has said.
“Africa is in the midst of one of its most severe sovereign debt crises in decades,” Mr. Braganza said, pointing to mounting concerns over economic stability.
According to the International Monetary Fund (IMF), at least 22 African countries are either in or at high risk of debt distress. The World Bank estimates that sub-Saharan Africa’s debt-to-GDP ratio averaged 60 percent in 2023 – up sharply from 35 percent in 2010.
The rising debt burden has fuelled fears of fiscal strain, limiting governments’ ability to invest in essential services and infrastructure.
Speaking during the opening session of the AFRODAD Media Initiative’s (AFROMedI V) fifth edition, organised by AFRODAD in partnership with African Monitor, he acknowledged that four countries have already defaulted on their debt. These countries are Zambia, Chad, Ethiopia and more recently, Ghana.
“Close to half the continent’s countries are paying more in debt service interest repayments than on investments in public services such as education, health, water and sanitation,” he added.
Despite these very grave economic challenges, he recognised the role of media in reporting these challenges and the diversion of much-needed resources to debt servicing is largely going unreported.
He said: “Lack of information, accompanied by inaccessible debt statistics and public reporting, is undermining the public’s ability to interact and play its role in holding government to account”.
Similarly, a Ghanaian banking and finance expert based in South Africa, Dr. Christian Ayiku, also speaking at the event acknowledged that: “The African Debt Risk Map identifies several countries under significant financial strain, including Ghana, Sudan, Somalia, Zambia, Mozambique, Zimbabwe, Tunisia and Kenya.
“Many governments, burdened by debt, have been forced to implement austerity measures – slashing social spending in favour of loan repayments. In some cases, these policies have triggered public unrest, as seen in Kenya and Nigeria during 2024,” Dr. Ayiku noted.
Public debt remains a critical component of fiscal policy, but African economies face unique challenges. Dr. Ayiku linked the region’s debt struggles to historical factors, stating: “Its origins are deeply tied to the colonial legacy – which left many nations saddled with odious debt, restricting their fiscal space and economic autonomy.
“Colonial-era economic structures were designed to serve foreign powers, extracting resources while leaving African nations with liabilities that persist to this day.”
He asserted that upon gaining independence, many African countries inherited substantial debt, reinforcing economic dependency. The United Nations Conference on Trade and Development (UNCTAD) reports that external debt servicing now consumes over 12 percent of Africa’s export revenues, limiting investment in development.
Both speakers recognised the crucial role of media in shaping public discourse, influencing policy decisions and holding leaders accountable.
Dr. Ayiku called on journalists to set the agenda, ensuring transparency and keeping people informed on key financial processes.
Meanwhile, Mr. Braganza averred that the current circumstances undermine Africa’s sovereignty and hinder its economic stability.
“The African Union’s (AU) 2025 theme on reparations and reparative justice is particularly relevant. Let this focus guide our training in the coming days,” he urged.
He said AFRODAD remains committed to supporting and enhancing the media fraternity’s capacity to strengthen research, data analysis and storytelling on public debt and development finance.
This year, 45 journalists from 29 countries are participating in AFROMEDI V with expectations that future editions will expand to all 54 African nations. The training runs from March 25 to March 27, 2025.
The forum called on African media to elevate debt issues in election debates, party manifestos and candidate interviews ahead of the 2025 polls.
The initiative also advocated for stronger reporting on reforms to the global financial system that will benefit Africa and advance reparative justice.
