Who Protects the Vulnerable When Debt Crowds Out Development?
Across Africa, social safety nets, the systems protecting vulnerable communities from hunger, illness and extreme hardship, are under severe pressure. Rising debt is shrinking government budgets and forcing cuts to programmes that help families meet basic needs and cope with everyday challenges. According to the 2025 State of Food Security and Nutrition in the World report, food insecurity in Africa remains severe, with an estimated over 307 million people chronically undernourished and high levels of moderate or severe food insecurity across the continent, while many Africans also live on low incomes well below the World Bank’s extreme poverty line of USD 2.15 per day. By mid-2025, a majority of the continent’s low-income countries were already in distress or at high risk.The debt crisis is no longer an abstract economic problem but a crisis of survival and if nothing changes, years of progress in education, health and social support could be lost. This raises a pressing question for policymakers and society alike: how can the needy be protected when fiscal pressures force such difficult choices?
At a technical level, sub-Saharan African countries are spending growing portions of government revenue on debt repayments. By 2025, some nations were expected to repay around USD 61 billion in principal alone, even though revenue remains insufficient to cover basic services. In Ghana, about a quarter of government revenue goes to servicing debt interest, funds that could have been used to build schools, hospitals or roads. In Kenya and Mozambique, debt has reached levels considered unsustainable, with the debt-to-export ratio estimated at 180 per cent. Recent austerity measures in countries such as Zambia, Ethiopia and Ghana have reduced social spending, leaving households to make impossible choices between food, healthcare and education. These figures illustrate debt is not just numbers on a balance sheet; it directly shapes the lives of millions and determines whether families can survive or thrive.
The consequences go beyond macro-economics, creating a triple burden: economic, social and human rights challenges. Excessive debt slows economic growth, drives inflation and reduces resources for investments that could improve livelihoods. It displaces productive investment and weakens social protections at a time when they are most needed. Rising debt pushes more households into hardship and limits programmes such as school meals, cash transfers and maternal healthcare. Research covering 30 sub-Saharan African nations between 1996 and 2022 shows rising public debt is strongly associated with increasing vulnerability and higher levels of corruption. Cuts to health, education and social protection undermine dignity, freedom and stability, potentially fuelling social unrest. When people are forced to choose between basic survival and opportunity, the human cost becomes impossible to ignore.
Addressing these profound economic, social and human challenges requires more than awareness; it demands coordinated global action. Despite some international initiatives, most global solutions have so far fallen short. The G20 Common Framework, designed to help countries restructure debt, has assisted only a few nations such as Chad, Ethiopia, Ghana and Zambia and often moves too slowly to meet urgent needs. Many countries remain trapped, unable to invest in development while still making large payments to creditors. There are, however, important lessons from history. Initiatives such as the Heavily Indebted Poor Countries (HIPC) and the Multilateral Debt Relief Initiative provided up to USD 100 billion in relief to 37 countries across Africa and Latin America in the early 2000s. More recently, South Africa’s 2025 G20 presidency developed proposals for genuine debt relief and a Borrowers Club, including cancellation agreements with like-minded creditors. Effective approaches today must focus on a country’s ability to pay, protect essential public services and ensure that all creditors, including private lenders, share responsibility. Regional financial safety nets managed by African institutions could provide emergency support without forcing cuts to vital social programmes. These measures show with coordinated action, it is possible to prioritise people over numbers.
When used responsibly, debt has the potential to drive development, funding schools, hospitals, roads and social services that empower communities. However, in Africa today, rising debt is increasingly becoming a source of distress, creating more hardship than opportunity for families and communities. Without decisive action, the continent risks losing decades of progress, leaving millions more vulnerable to hunger, illness and lost opportunity. This reality reminds us how debt is managed is not just an economic question but a moral one, determining whether generations can live with security and dignity.
Written by Jedidah Wanjagi – Program Manager, Expertise Global
