Economics
May 11, 2026
Hippolyte Fofack
Despite being the least-indebted continent, Africa remains stuck in a debt trap. The trap does not reflect the volume of debt African countries have accumulated—which is just 3% of the global total—but rather how that debt is structured and perceived, which in turn reflects a flawed global financial architecture.
DAKAR—The narrative that Africa faces a persistent debt crisis has become entrenched. In fact, despite representing nearly one-fifth of the world’s population, the continent accounts for less than 3% of global sovereign debt. By contrast, the European Union and the United States account for a much larger share (nearly 16% and more than 34%, respectively). Moreover, Africa’s average debt-to-GDP ratio, at 67%, is markedly lower than those of Europe (88.5%), the US (122.6%), and Japan (236.7%).
