By Adama Makasuba
ActionAid’s findings indicate that wealthy nations owe Africa, a region that contributes minimally to the climate crisis, a staggering $36 trillion in climate debt. “Despite this, African countries are prioritizing debt repayments to affluent countries and global financial institutions, thereby sacrificing essential public services such as healthcare, education, and climate initiatives,” the report states.
Arthur Larok, Secretary General of ActionAid International, condemned this situation as a “travesty,” noting that African nations are burdened by foreign debt. At the same time, the world’s wealthiest countries evade their responsibilities for the climate crisis and reparations regarding historical injustices. “By compelling countries to emphasize debt repayment over vital services, wealthy nations are driving Africa to the brink.”
The report revealed that lower-income African countries alone paid $60 billion in debt repayments in 2024, diverting critical resources that could improve the lives of millions. In contrast, wealthy nations should provide Africa with at least $1.4 trillion annually in climate finance—25 times greater than Africa’s yearly debt repayments.
Chikumbutso Ngosi, Young Urban Women Programme Manager at ActionAid International, highlighted the gendered consequences of this crisis: “Servicing external debts and adhering to IMF loan conditions undermine investments in health, education, and climate action, disproportionately impacting women and girls.”
The report also revealed the glaring inequalities in global finance, revealing that African countries face an average interest rate of 9.8% on loans—12 times higher than the 0.8% rate paid by Germany.
ActionAid has called upon African leaders to confront these historical and ongoing injustices. The report urges the African Union and global movements to establish a new UN Framework Convention on Debt, aiming to replace the existing unfair colonial financial system dominated by the IMF.
