Governments across Africa are spending more on servicing debt than on vital sectors such as health and education, while climate shocks and an outdated global financial system continue to undermine growth, experts warned at a recent briefing ahead of the G20 Summit in Johannesburg, South Africa (SA).

The briefing, led by former SA Finance Minister Trevor Manuel, who chairs the G20 Africa Expert Panel, brought together United Nations and International Monetary Fund specialists and economists from across the continent to discuss solutions to the mounting debt crisis. Manuel described Africa as trapped in a debt architecture that punishes development, locks countries out of opportunity, and amplifies crises from climate change to social unrest.

“Africa’s debt is not only rising, it is increasingly shaped by a global financial system that works against developing countries,” Manuel said, highlighting the role of credit rating agencies in driving up borrowing costs.

Kenyan economist Jason Braganza added that the debt crisis is not just an accounting problem but a social time bomb.

“There is a default on development and a default on social spending. Close to half the continent is allocating more than 50% of its budgets to debt repayments. This may satisfy creditors in the short term, but it risks a regression in health and education outcomes, and an increase in social unrest,” he said.

Dr Vera Songwe, a finance expert from Cameroon, said economic growth is key to tackling Africa’s debt. She highlighted the need for competent governance, principled leadership, and clear domestic policies to ensure that borrowing translates into sustainable development.

The panel also debated the role of global credit rating agencies. Manuel stressed the importance of driving greater transparency and compelling the “big three” agencies to respond differently to Africa’s circumstances, noting that such reforms directly affect the quality of life for millions of people.

–ChannelAfrica–