7 African countries with highest government debt – Business Insider Africa

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Government debt remains a pressing economic challenge for many African nations, with some countries grappling with alarmingly high debt-to-GDP ratios.
According to the International Monetary Fund (IMF), several African economies are burdened by substantial debt, raising concerns about fiscal sustainability and economic stability.
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Sudan holds the highest government debt in Africa, with a staggering debt-to-GDP ratio of 344.4%. This astronomical figure reflects years of economic instability, political turmoil, and structural weaknesses in the country’s financial management.
The persistent economic crisis has left Sudan struggling with inflation, currency devaluation, and unsustainable borrowing.
Zimbabwe ranks second with a debt ratio of 98.5%, a consequence of long-standing economic mismanagement, hyperinflation, and a history of external debt defaults. Despite government efforts to stabilise the economy, high debt levels continue to hinder recovery.
Mozambique follows closely at 96.9%, attributed to a series of financial crises, hidden debt scandals, and external borrowing for infrastructure projects. The country has faced difficulties meeting its debt obligations, leading to concerns about its long-term economic health.
Egypt, one of Africa’s largest economies, has a debt-to-GDP ratio of 96.4%, largely due to significant public spending, infrastructure investments, and external borrowing. While the Egyptian government has initiated economic reforms, high debt levels remain a concern.
The Republic of Congo, with a 94.6% debt ratio, has struggled with declining oil revenues and excessive borrowing, which have significantly strained the country’s financial stability.
Ghana, which has faced mounting debt in recent years, has a debt-to-GDP ratio of 83.6%. The country has sought assistance from the IMF to stabilise its economy, implement fiscal reforms, and restructure its debt.
Mauritius, despite its reputation as a financial hub, has accumulated a government debt ratio of 81%, reflecting economic pressures from the COVID-19 pandemic and reduced tourism revenues.
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High government debt can have severe consequences, including inflation, currency depreciation, and limited fiscal space for development projects. Many of these countries have turned to international financial institutions such as the IMF and World Bank for support.
However, achieving sustainable debt levels will require comprehensive fiscal policies, structural reforms, and improved governance to enhance revenue generation and reduce dependency on external borrowing.
As African economies navigate these financial challenges, ensuring prudent debt management and fostering economic growth remain critical to achieving long-term stability.
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