AFRICAN UNION RAISES ALARM OVER CONTINENT’S RISING DEBT CRISIS

The chairperson of the African Union Commission Mahamoud Ali Youssouf has warned that the continent’s debt crisis has continue to undermine development in the region
Speaking in Ethiopia at a G20-Africa high-level dialogue on debt sustainability, Mahamoud Ali Youssouf, said public debt has grown to about $1.8 trillion.
Which represents about two-thirds of the continent’s Gross Domestic Product GDP, largely due to the high cost of borrowing and limited access to concessional finance.
Youssouf disclosed that in 2024, debt-service payments exceeded $70 billion, consuming an increasing share of public revenues and eroding fiscal space.
With many governments spending more on servicing debt than on investments in human development, economies and the citizens are suffering.
He said these pressures highlight the need for urgent collective action to restore debt sustainability and improve Africa’s access to capital on fairer terms.