Africa is facing an unprecedented debt challenge, one that threatens to undermine decades of development and economic progress. For many nations across the continent, the rapid accumulation of public debt has reached levels that are unsustainable, prompting urgent calls for coordinated action, debt relief, and responsible fiscal management.
In May 2024, the African Union hosted its first-ever continental conference on debt in Lomé, Togo, highlighting the severity of the crisis. Officials revealed that more than 20 African countries are at risk of financial instability directly linked to mounting public debt. According to Clever Gatete of the United Nations Economic Commission for Africa (ECA), Africa’s total debt reached approximately $1.86 trillion in 2024, nearly doubling over the past decade. Between 2015 and 2024, the continent’s debt-to-GDP ratio surged from 44.4% to 66.7%, underscoring the rapid pace of borrowing and the potential economic risks.
October 2025 data shows that Sudan, Senegal, Zambia, and Cape Verde experienced the highest debt growth rates, with increases of 272%, 128%, 115%, and 111% respectively. A panel of 25 independent experts, appointed by South Africa, recommended comprehensive measures to reduce debt burdens while increasing investment to sustain growth and stability across the continent.
1. Sudan – 253% of GDP
Sudan currently faces the highest debt-to-GDP ratio in Africa at 253%. The country is grappling with ongoing civil conflict, which has severely weakened its economy. The majority of Sudan’s debt is owed to Gulf countries and members of the Paris Club, placing the nation in an extremely vulnerable financial position. With economic output constrained by political instability and insecurity, the government struggles to allocate resources effectively, leaving debt service costs consuming a significant portion of national revenue. Sudan’s debt situation illustrates how conflict and fiscal mismanagement can combine to create a protracted financial crisis.
2. Senegal – 119% of GDP
Senegal’s debt reached $47.2 billion, equivalent to 119% of GDP, making it the second-most indebted country in Africa relative to economic output. The debt is held by multiple creditors, including international financial institutions and private lenders, complicating restructuring efforts. While Senegal has experienced relatively stable economic growth in recent years, the high debt burden poses risks to public spending, social services, and infrastructure investment, potentially undermining long-term development objectives.
3. Zambia – 115% of GDP
Zambia’s total debt stood at $21.4 billion by the end of 2024, representing 115% of GDP. Although initial projections anticipated a decline to 91.1% of GDP in 2025, Zambia remains among Africa’s most indebted countries. Debt servicing consumes a large portion of government revenues, limiting the state’s ability to invest in critical sectors such as education, healthcare, and energy. High borrowing costs and dependence on external creditors make Zambia particularly susceptible to fluctuations in global interest rates and commodity prices.
4. Cape Verde – 109.4% of GDP
Cape Verde, despite being a small island nation with a relatively high-income profile, faces a debt-to-GDP ratio of 109.4% in 2024. While this is an improvement from 127.5% in 2022, the country still struggles to manage debt sustainability. With limited domestic revenue and reliance on tourism, foreign aid, and remittances, the government remains vulnerable to external shocks, including pandemics, natural disasters, or fluctuations in global economic activity.
5. Republic of Congo – 93.6% of GDP
The Republic of Congo has seen its debt levels gradually decline but remains high at 93.6% of GDP. Nearly 50% of government revenue is dedicated to debt servicing, reducing funds available for public services. The country relies heavily on oil revenues, making it vulnerable to global oil price volatility. While efforts to restructure and manage debt have been ongoing, Congo’s fiscal sustainability remains precarious.
6. Mozambique – Over 100% of GDP
Mozambique’s debt reached $16.238 billion by the end of 2024, surpassing 100% of GDP. In March 2025, the government announced that it would be unable to meet its debt obligations, confirming the severity of the crisis. External borrowing, combined with high domestic expenditure and revenue shortfalls, has pushed Mozambique into a state of technical default. The IMF has noted that urgent reforms and debt restructuring are required to prevent economic collapse.
7. Egypt – 83% of GDP
Egypt continues to face significant debt pressures despite being one of Africa’s largest economies. In the first six months of the 2024/25 fiscal year, the government paid $21.3 billion toward debt servicing, straining foreign exchange reserves. While Egypt has undertaken economic reforms and received international support, including from the IMF, debt servicing costs remain a significant challenge.
8. Malawi – 88% of GDP
Malawi’s debt reached $10.3 billion, equivalent to 88% of GDP. The country relies heavily on external financing to fund development programs, including health, education, and infrastructure. High debt levels limit fiscal flexibility and make Malawi vulnerable to currency fluctuations and global interest rate changes.
9. Mauritius – 88% of GDP
Mauritius, widely regarded as one of Africa’s more advanced economies, has a debt-to-GDP ratio of 88%. Despite its relatively strong financial management, reliance on external borrowing and limited domestic resources pose ongoing challenges for debt sustainability. The government continues to explore debt reduction strategies and fiscal reforms to maintain economic stability.
10. Guinea-Bissau – 82.3% of GDP
Guinea-Bissau faces both economic and political challenges, with a debt-to-GDP ratio of 82.3%, of which 55.5% is domestic debt. Political instability, weak institutions, and limited revenue collection exacerbate the country’s vulnerability, leaving it dependent on external assistance and debt relief initiatives.
Africa’s Debt Outlook
The rising debt burden across Africa highlights the urgent need for comprehensive solutions, including:
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Coordinated debt restructuring to alleviate immediate fiscal pressure
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Responsible borrowing practices to avoid unsustainable accumulation
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Increased investment to boost economic growth and resilience
Without decisive action, Africa risks entering a prolonged cycle of debt dependency, where high interest payments constrain development, exacerbate poverty, and limit the continent’s ability to respond to crises.
As the continent grapples with these challenges, policymakers, international institutions, and creditors must work together to ensure debt sustainability while supporting long-term growth. The choices made today will determine whether Africa can convert its potential into tangible prosperity or remain trapped under the weight of mounting liabilities.
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