Current package of half-measures can't cure Africa's debt crisis

Evans Osano of FSD Africa argues that the debt crisis in sub-Saharan Africa requires a comprehensive solvency solution similar to the 1996 HIPC initiative, rather than current liquidity-focused measures, to prevent further erosion of poverty gains and economic decline.

• More than half of the low-income economies in sub-Saharan Africa are facing a severe debt crisis, with these countries spending an average of 31 per cent of their revenues on debt service, which limits development spending and erodes poverty gains.
• The World Bank forecasts that per capita gross domestic product in sub-Saharan Africa, which has been stagnant since 2015, will decline by an annual average of 0.1 per cent through 2025, resulting in 472 million people (37 per cent of the population) living in absolute poverty.
• Current measures focusing on liquidity for market access countries are insufficient because the crisis is also one of solvency. A comprehensive approach is needed, such as a new initiative equivalent to the 1996 Heavily Indebted Poor Countries (HIPC) initiative, alongside reforms to the G20's Common Framework to speed up debt restructuring.

APA

Osano, E. (2024). Current package of half-measures can't cure Africa's debt crisis. FSD Africa. https://fsdafrica.org/letter-current-package-of-half-measures-cant-cure-africas-debt-crisis/

Chicago

Osano, Evans. Current package of half-measures can't cure Africa's debt crisis. FSD Africa, 2024. https://fsdafrica.org/letter-current-package-of-half-measures-cant-cure-africas-debt-crisis/.

Wikipedia

{{cite press release |last1=Osano |first1=Evans |title=Current package of half-measures can't cure Africa's debt crisis |publisher=FSD Africa |date=26 January 2024 |url=https://fsdafrica.org/letter-current-package-of-half-measures-cant-cure-africas-debt-crisis/ |access-date=17 August 2026 |via=Climate Insights Directory}}

BibTeX

@misc{osano2024current, author = {Osano, Evans}, title = {{Current package of half-measures can't cure Africa's debt crisis}}, publisher = {FSD Africa}, year = {2024}, month = jan, url = {https://fsdafrica.org/letter-current-package-of-half-measures-cant-cure-africas-debt-crisis/}, urldate = {2026-08-17}, note = {Indexed by Climate Insights Directory} }