Afdb Nigeria, African Countries Require 74 Billion In Debt Payments

Nigeria and other African countries would require approximately 74 billion in debt servicing this year due to increasingly constrained access to affordable funding, according to Prof Kevin Urama , Vice President and Chief Economist, Economic Governance and Knowledge Management, African Development Bank Group AfDB .

This declaration was given during his opening remarks at the launch of the Debt Management Forum for Africa and the Inaugural Policy Dialogue on Making Debt Work for Africa Policies, Practices, and Options in Abuja on Monday.

In 2024, the continent will require more than 74 billion for debt servicing alone. When hidden debt and contingent obligations are taken into account, the sum might be significantly larger.

From 2025 to 2033, the liquidity needs for debt refinancing remain high, with an average of 10 billion each year. African Eurobond yields have surged to 15 in 2023, more than doubling the rate in 2019, complicating debt refinancing, he noted.

According to Urama, Africas public debt has increased by 170 per cent since 2010, owing to structural flaws in the global debt architecture, recent global and domestic shocks, and shortcomings in the continents macroeconomic fundamentals.