What can the G20 summit do to address Africa’s debt crisis? We ask South Africa’s finance minister as the city of Johannesburg prepares to host the meeting for the first time on African soil. Plus, a look at how the burden of debt is widening social and economic inequality across communities.
For more news go to:
Follow DW on social media:
►Instagram:
►TikTok:
►Facebook:
►Twitter:
Für Videos in deutscher Sprache besuchen Sie:
Subscribe:
#G20 #debt #Johannesburg
Germany can lend money to African countries without interest.
Maybe Africa should ask China & the BRICS countries. The De-dollarization South Countries.
How do you expect people to lend you money in the future if you borrowed so much and now say that it is unfair for you to pay the money back.
The South African finance minister is a Communist (literally)- fundamentally, he can’t talk to Capitalist markets.
Bring discipline and intelligence to the continent?
Debt is not part of African economic epistemy as it is abhored. However with integration process of the capitalist world it has been accepted as part of development matrix but not yet well explicated to match African culture
Give us a reason to trust Africa's economy and the money will start flowin in.
The way it is now, sorry, but noone will invest.
Africa has horrible leadership and is corrupt. The debt is already out of control because of this. So why should the rest of the world continue to pump money into a mess.
Don’t blame the lender if you borrowed too much
Blame corruption and the inability to produce wealth
Wow, the root causes of the African situation were not mentioned once!!! Corruption, corruption and more corruption
China!China!China!
Did I hear wrongly? This guy said the west cause the problem because they don't invest in Africa.
How much does Greece owe, and JAPAN, US all the top European, no mineral, nothing, guys. Media will make you think you are.. los maar net
Irony of him talking about a debt trap and South Africa has taken several loans from IMF and WB in the past year under the Ramaphosa presiedency, for municipalities and electricity. We need to not have loans that push for privatisation of public goods in a country with the highest employment in the world. Why not diversify on our debts with China and other countries instead of just the neocolonial Bretton Woods agencies? Surely we would have better negotiating space if we diversify who we lend from? Why can we not reduce dependency on debt?
Africa is in debt because it’s unable and unwilling to collect taxes. It’s unwilling to collect taxes because that means its governments will actually have to do its job and deliver services to its people this will also mean that it will have to introduce serious political and economic reforms that completely destroy the current power structures in place. Those in power don’t want the power structure to change. This is the vicious cycle Africa has been in for about 70 years now. Taxes bring accountability, African leaders don’t want accountability.
Your Excellencies,
Distinguished Representatives of the G20 International Organization,
I wish to extend my respectful greetings and express my appreciation for the continued commitment demonstrated by the G20 in promoting global economic stability and strengthening multilateral cooperation. The role played by your organization has been particularly vital in addressing the structural challenges faced by developing nations, especially in Africa, where the burden of external debt continues to undermine the continent’s social and economic progress.
The persistent difficulties that many African countries encounter in servicing their debts to multilateral financial institutions are not merely fiscal challenges; they reflect a deeper inequality in the global financial system that perpetuates cycles of dependency and restricts the capacity for autonomous development. For this reason, it is of utmost importance that the G20 reinforces its financial support and implements flexible mechanisms that allow indebted countries to restructure their obligations under sustainable and inclusive conditions.
Efforts to mitigate Africa’s debt crisis should not be seen exclusively as acts of financial relief, but rather as strategic investments in global stability. A continent constrained by the weight of unsustainable debt cannot allocate sufficient resources to health, education, housing, infrastructure, or environmental resilience. Consequently, social inequalities deepen, and the prospects for long-term development become increasingly distant. The G20, with its unique influence and capacity for cross-border coordination, is in a privileged position to promote transformative change.
Concrete actions—such as concessional financing, extended repayment deadlines, reduced interest rates, debt-for-development swaps, and new investment guarantee frameworks—would enable African countries not only to meet their international obligations, but also to redirect resources toward structural transformation. These measures would accelerate the transition to sustainable economies, strengthen productive capacity, and enhance resilience against global shocks.
Furthermore, strengthening Africa’s macroeconomic fundamentals requires far more than debt alleviation; it requires robust investment in modern and adaptable infrastructure, capable of promoting regional integration and facilitating the mobility of goods, services, people, and technology. This is essential for building cities and communities that offer dignified living conditions and long-term economic opportunities.
By supporting African nations in this effort, the G20 would advance its own objectives of global financial stability, equitable development, and stronger cooperation between advanced and emerging economies. The progress of Africa is inseparable from the progress of the world. A continent with growing demographics, abundant natural resources, and rising entrepreneurial capacity is indispensable to global prosperity.
It is also crucial that policies designed by the G20 incorporate a framework of shared responsibility, transparency, and governance reforms, ensuring that financial support effectively promotes development and reduces inequalities. Africa does not request charity but equitable partnership—one that recognizes its potential and supports its pursuit of sustainable growth.
In this context, I respectfully urge the G20 to deepen its collaboration with African governments, regional institutions, and civil society, so that financing solutions reflect the real needs of the populations affected by the debt crisis. Doing so would pave the way for a more just, inclusive, and balanced global economic order.
I express my sincere gratitude for your attention to this matter of great urgency and reaffirm the belief that the G20’s leadership will continue to play an essential role in promoting economic justice, reducing social inequalities, and ensuring that Africa becomes a continent of opportunity, stability, and shared prosperity for present and future generations.
Respectfully
Luís Lopes
一看标题就猜想到了报道的目的： 抹黑中国。
NEO-COLONIALISM at its best..
As usual Sub Sahara Africa addresses the world with their hand out.
Typical of corrupt politicians to deflect by mentioning Israel at the end.
No accountability
Playing the blame game
When will this change
African Leaders have a corruption crises
Being in a poor state implies the governing political party is corrupt.
Not in a million years did I think the word "Israel" would come up in this topic. But leave it to the South African Finance Minister .
"same fiscal and financial metrics as us"…..yes but only one of them has a history/threatened/ has put into law, the threat of expropriation without compensation, and one is significantly less corrupt than the other. doesn't take a genius to understand that africa is more dangerous to invest in compared to Asia or the balkans.
The argument is that because the country looks similar to others and doesn't get funding because of stereotype is nonsense. Africa on average is a lot more unstable, and having lots of unstable neighbors is also part of the risk rating, it's not just how does your own country look.
Most conflicts are in Africa or the middle east. You can basically map the high risk to default with has had conflicts since 2000. Africa and the middle east also top the charts for a lot of corruption indexes.
If you keep making those claims about financial cases are similar, then you should back it up with data. Why should Africa get more members on the IMF board if it doesn't contribute to it? That doesn't make any sense.
Afrika has to fix themselves … since the 1990’s we sent 1.3 Trillion Dollar there for Development… how much Money and help do they need ?????
There is no stereotype in Moody's & Standard & Poor Ratings because its equally applied to corporate bonds. If you borrow money for stealing, kickbacks, and self-awarded contracts like Kenya, where will the project's revenue come from? Its called project/growth finance because revenues flow from those projects.
Very interesting video
Thank you very much for your explanations about African debt crisis, which can never been solved until we overcome capitalism economy towards a co-op economy
Not sure why during the introduction, you are grouping high interest lenders with China. The average interest rate of China's loans to African countries is 2.7% Is that high interest rate?
The finance minister, without irony, in the same interview said that interest rates are too high for African countries and that the debt should be annulled.
The real problem is not the debt, the real problem is CORRUPTION ! How do you want a foreign country/company invest in a corrupted country ? Stop blaming others.
Beggers will always be beggers . The amount of money damped into africa throughout the decades would have been better burnt considering how little it improved people's lives
China destroyed Africa with its Belt and Road debt scam
We all know who they will blame for this, and they will also do the same in 1000 years
Enternal victims, Europe was destroyed after WWII and paid all the loans back amd rebuilt itself. But Africa want free money and loan forgiveness… No you have to pay it back in one way or another
Yeah, I’m sure there’s absolutely no difference between lending money to Israel and lending money to Burkina Faso.
Remember when the world held African nations at gunpoint and forced them to take out loans they had trouble repaying? Me neither.
Hear who is talking about bullying, he mentions Crimes,violences, pretenders, hypocrite people
When anyone borrows, the proceeds must be treated like treasure. It must be invested productively. None can be wasted. None can be stolen. When African countries borrow, the lenders don't follow the money . . it is the borrowers responsibility to spend ever penny wisely.
Please watch owamie Entertainment you tube speak about this G20 you will hear how african President countries didn't support Ramaphosa they didn't unite as africa to support South Africa
Poor and without infrastructures, aiports, seaports, schools, hospitals
Poor but with infrastructures, airports, seaports, schools, hospitals, future growth potential.
Its easy choice.
Africa does not have a stronger financial institutions than other continents.
All reported without one mention about the toxic corruption which catalyses the issues.
Corruption in Africa was a desired outcome for the US and many western governments.
It allows them to extract wealth from US based companies operating in Africa and prevents African economies nationalising profits from their own resources. Just look into CIA interference in African politics which tells you this was exactly as planned.
The largest problem for Africa is not debt but the realization that their global sponsors have finally figured them out. The begging bowl continent.
Twenty six minutes to just say "we dont want to repay our loans"