African Countries Government Debt to GDP Ratio

[Neptune]

From the IMF, 2025 values. https://www.imf.org/external/datamapper/GGXWDG_GDP@AFRREO/SSA/OEXP/OIMP/COM

Country	Value
Algeria	57.80
Angola	64.52
Benin	52.55
Botswana	42.95
Burkina Faso	50.16
Burundi	35.31
Cabo Verde	109.61
Cameroon	39.87
Central African Republic	58.29
Chad	33.88
Comoros	32.51
Congo, Dem. Rep. of the	16.32
Congo, Republic of	91.40
Côte d'Ivoire	58.13
Egypt	86.60
Equatorial Guinea	35.07
Eritrea	201.36
Eswatini	37.82
Ethiopia	41.81
Gabon	79.24
Gambia, The	67.48
Ghana	66.44
Guinea	39.60
Guinea-Bissau	79.39
Kenya	68.34
Lesotho	59.73
Liberia	56.50
Madagascar	51.27
Malawi	72.96
Mali	51.73
Mauritius	83.40
Morocco	68.90
Mozambique	101.08
Namibia	63.86
Niger	43.39
Nigeria	52.52
Rwanda	77.65
São Tomé and Príncipe	37.30
Senegal	111.43
Seychelles	59.32
Sierra Leone	44.33
South Africa	79.55
South Sudan, Republic of	63.17
Sudan	252.00
Tanzania	47.09
Togo	69.50
Tunisia	82.90
Uganda	53.96
Zimbabwe	58.57

 

[Neptune]

Somalia I believe is under 6% after the debt relief.

 

[Neptune]

Looking at Kenya and what's been happening to them recently, you realize just how dangerous debt is long term. Debt relief for Somalia was a huge step for future economic success.

 

[Midas]

A huge part of why africa is fucked is that you need to borrow a huge amount amount of money to finance the building of infrastructure required for development like roads,airports,sea ports, power plants, industrial parks,etc. The problem is that the expected economic growth never materalized. So no you have to pay back these billions of dollars you borrowed. And the only real way to do that is to tax the pouplation more.

 

[Neptune]

A huge part of why africa is fucked is that you need to borrow a huge amount amount of money to finance the building of infrastructure required for development like roads,airports,sea ports, power plants, industrial parks,etc. The problem is that the expected economic growth never materalized. So no you have to pay back these billions of dollars you borrowed. And the only real way to do that is to tax the pouplation more.

Exactly, loans are given with the assumption that growth will outpace the cost. COVID was really bad for a lot of these countries, or in the case of Ethiopia, a civil war that had them on the verge of bankruptcy. Look at Egypt as well, they have to keep getting bailed out.

When you're in debt, and your growth stalls, you become a slave and have to carry out unpopular reforms. This is what happened to Somalia under IMF austerity measures.

 

[Midas]

Exactly, loans are given with the assumption that growth will outpace the cost. COVID was really bad for a lot of these countries, or in the case of Ethiopia, a civil war that had them on the verge of bankruptcy. Look at Egypt as well, they have to keep getting bailed out.

When you're in debt, and your growth stalls, you become a slave and have to carry out unpopular reforms. This is what happened to Somalia under IMF austerity measures.

People also assume that the reforms are meant to destory your economy but in reality its that economic reform is extremely difficult and fails most of the time.

Most of the African countires also basically got their entire debt forgive in the 2000s. But were right back were they started by the late 2010s.

My controversial take is that africa was simply way too behind and that for africa to have actually developed somewhat by now would have required way more investment in the colonial period. Investment on a level which would have bankrupted the west in the colonial period.

 

[Neptune]

People also assume that the reforms are meant to destory your economy but in reality its that economic reform is extremely difficult and fails most of the time.

Most of the African countires also basically got their entire debt forgive in the 2000s. But were right back were they started by the late 2010s.

My controversial take is that africa was simply way too behind and that for africa to have actually developed somewhat by now would have required way more investment in the colonial period. Investment on a level which would have bankrupted the west in the colonial period.

Even China has slowed down with their loans to Africa. They've forgiven a lot. At some point these countries need to come up with local solutions. It's like a cycle with the constant borrowing then restructuring and eventual forgiveness.

 

[Midas]

Even China has slowed down with their loans to Africa. They've forgiven a lot. At some point these countries need to come up with local solutions. It's like a cycle with the constant borrowing then restructuring and eventual forgiveness.

Its intresting you bring up local solutions. One of the things that changed my perspective on this was that Africa's first generation of post independence leaders seem incredibly competent becuase these people were educated by the colonial state and were the 1%. After colonialism ended state and instead capacity declined overtime at the same time they were trying to expand state institutions this went on Until the 80s and 90s were it basically collapsed wholesale in most of africa because of the economic situation. Which is why we're in this situation where the educated African elite now received a way worse education than the colonial generation.

 

[Neptune]

Its intresting you bring up local solutions. One of the things that changed my perspective on this was that Africa's first generation of post independence leaders seem incredibly competent becuase these people were educated by the colonial state and were the 1%. After colonialism ended state and instead capacity declined overtime at the same time they were trying to expand state institutions this went on Until the 80s and 90s were it basically collapsed wholesale in most of africa because of the economic situation. Which is why we're in this situation where the educated African elite now received a way worse education than the colonial generation.

Yep, a lot of the governments are filled with people who lack a formal education. With populations collapsing in the developed world, the brain drain is gonna be so bad in the future. I just hope African diaspora don't forget to give back to their countries.

 

[Neptune]

@Idilinaa read this, it's sort of similar to the some of the points you were making. Post debt relief the country needs to tap into private capital more. It's the private sector that's been leading all the growth without any government help. There's a lot of opportunity for public/private partnerships.

Somalia’s Dawn After Debt Relief – Building Resilience via Capital Market Development and Private Sector-Led Growth

Somalia has reached a historic milestone. On December 13, 2023, the International Monetary Fund (IMF) and the World Bank confirmed Somalia hit the Heavily Indebted Poor Countries (HIPC) completion point, reducing external debt from 64 percent of GDP in 2018 to under

www.hiiraan.com

 

[Idilinaa]

@Idilinaa read this, it's sort of similar to the some of the points you were making. Post debt relief the country needs to tap into private capital more. It's the private sector that's been leading all the growth without any government help. There's a lot of opportunity for public/private partnerships.

Somalia’s Dawn After Debt Relief – Building Resilience via Capital Market Development and Private Sector-Led Growth

Somalia has reached a historic milestone. On December 13, 2023, the International Monetary Fund (IMF) and the World Bank confirmed Somalia hit the Heavily Indebted Poor Countries (HIPC) completion point, reducing external debt from 64 percent of GDP in 2018 to under

www.hiiraan.com

My bad, I didn’t get a notification that you tagged me.

Sounds like the author is regurgitating a lot of surface level generalist information you can find online. Some outdated stuff is even added to it.

But the core message about utilizing private capital holds weight. I am in 100% agreement with him on this.

Somalia now stands at a historic crossroads, with courage and collaboration, it can chart a new course one where no one is left behind. Debt relief is only the spark. Somalia’s future will be forged by the courage of its people, the energy of its entrepreneurs, and the resolve of its leaders. Now is the time to think boldly, act wisely, and build a legacy that lasts. Somalia must seize this moment following debt relief, using fiscal savings to institutionalize capital market development, domestic revenue, and private-sector vibrancy—bolstered by robust legal frameworks and diaspora engagement. These bold moves can position Somalia not just as a post-conflict success, but as a dynamic East African growth frontier.

The 3 main advantages Somalia has which the public sector can exploit is it's local market driven economy, its private sector vibrancy and it's diaspora engagement.

The debt relief opens up the fiscal space after mobilizing those revenue sources you can directly put it into into development rather than debt servicing. If they create institutional frameworks aimed to exploit them, it can speed u development in a self reliant way.

 

[Barkhadle1520]

Somalia I believe is under 6% after the debt relief.

Its even lower