10 African Countries With The Most Debt in 2024

10 African Countries With The Most Debt in 2024 - GlobalCurrent24.com
International News On African Countries And Their Debt – GlobalCurrent24.com Presents The 10 African Countries With The Most Debt In 2024.
While foreign loans may be a useful instrument for funding expansion and addressing short-term financial gaps, unchecked accumulation can breed economic uncertainty and inhibit long-term success. Unfortunately, this has been the situation in many African countries. Debt payment has been an economic nightmare for certain governments on the continent.
Key Highlights
- GlobalCurrent24.com presents the 10 African countries with the most debt in 2024
- Additionally, the statistics in this list show the nations’ foreign debt as a proportion of GDP.
- The list is courtesy of the International Monetary Fund.
While the size of a country’s debt is cause for concern, the most important issue in this regard is the debt’s proportion to its GDP.
A country that earns far more than it owes not only demonstrates sustainability, but also boosts investor confidence, resulting in minimal fear or economic issues when it comes to debt repayment.
However, like in certain African countries, when debt is proportional to GDP, the country faces an economic disaster.
The fundamental disadvantage of a high external debt-to-GDP ratio is its heightened susceptibility to external shocks and changes in global financial markets.
In times of crisis, such countries may find themselves with little budgetary wiggle room, obliged to enact austerity measures, reduce public spending, or seek bailouts from foreign financial institutions.
Nigeria skips the top 10 list as Ghana, her neighbouring country, sits comfortably in the 6th position of African countries with the most debt in 2024.
With that stated, these are the African nations with the highest foreign debts as a proportion of GDP, according to the International Monetary Fund.
10 African Countries With The Most Debt in 2024 – Full List
Rank | Country | External debt (% of GDP) |
---|---|---|
1. | Cabo Verde | 93.25 |
2. | Mozambique | 65.54 |
3. | Rwanda | 60.19 |
4. | Angola | 52.91 |
5. | Lesotho | 46.8 |
6. | Ghana | 46.54 |
7. | São Tomé and Príncipe | 46.53 |
8. | South Sudan | 44.86 |
9. | Benin | 44.70 |
10. | Sierra Leone | 43.76 |
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