African nations often adopt Structural Adjustment Programs (SAPs) mandated by the International Monetary Fund (IMF) when they accrue significant debts. While IMF loans aim to stabilize economies, their conditions have sparked debate over whether the loans cause more harm than good.
Many African countries’ growing IMF debts have raised concerns, as substantial portions of government funds are redirected from economic development projects to service these debts. This cycle of borrowing and repayment reduces fiscal flexibility, leaving nations ill-prepared for external shocks such as commodity price fluctuations, natural disasters, or global financial crises.
According to Business Insider, nations with high IMF debts are more vulnerable, and economic issues worsen if adequate financial reserves aren’t set aside. Recent updates to the list of African countries with the highest total IMF credit show Senegal dropping out, replaced by Morocco. Meanwhile, Ghana fell below Cote d’Ivoire.
Top 10 African Countries With Highest IMF Debt (As of November 19, 2024):
1. Egypt: $9,305,675,014
2. Kenya: $3,022,009,900
3. Angola: $2,900,483,338
4. Cote d’Ivoire: $2,746,507,040
5. Ghana: $2,514,421,000
6. Democratic Republic of Congo (DRC): $1,599,000,000
7. Ethiopia: $1,313,857,500
8. South Africa: $1,144,200,000
9. Cameroon: $1,130,220,000
10. Morocco: $1,100,200,000
Although not among the top IMF debtors, Nigeria spent over $2.24 billion between January and June 2024 to service external debts. A breakdown revealed:
Q1 (January–March 2024): $1.12 billion spent servicing various foreign loans.
These figures underline the challenges African countries face in balancing debt repayments with economic growth and resilience against financial shocks.
Adeleke Damilola (ACTION) is a versatile content writer with expertise in news writing and a seasoned media professional and broadcast specialist. Currently serving as News Editor for DNews Info, Damilola is also the CEO of the ACTION brand, committed to shaping lives and establishing a legacy of excellence for present and future generations.
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