Will African nations ever be able to repay their debt?
Will African nations ever be able to repay their debt?
African nations are drowning in debt. A halt of US aid to many countries on the continent could worsen the crisis.
Africa is a continent rich in natural resources with a young population. African nations in theory have the potential to transform their economies. But many of them are facing mountains of debt.
Africa’s external debt climbed to more than $650bn last year.
More than half of African countries are either in debt distress or teetering on the edge. But credit restructuring is painstakingly slow, and many governments end up spending more on servicing their debt than on healthcare or education.
The debt problem has plunged many nations into economic crisis with rising unemployment and poverty.