Afrodad Expert: "G20 debt framework needs overhaul to help African nations"
Jong called for a coordinated African approach to debt negotiations, arguing it would help nations "overcome the vulnerabilities that come with the political fragmentation."
MAPUTO, Mozambique— The G20 Common Framework for debt treatment urgently needs reform to better serve African countries, a development expert said Thursday, writes Winston Mwale.
Speaking on the sidelines of a debt conference in Mozambique, Dr. Yungong Theophilus Jong of the African Forum and Network on Debt and Development (AFRODAD) highlighted major shortcomings in the current system.
"We need an arrangement that actually works, that actually accelerates the debt treatment to ensure that countries are not faced with immediate burdens," Jong said.
He noted only four African nations have shown interest in the framework, with just two — Ghana and Zambia — successfully enrolled so far.
Jong criticized the framework's slow pace and lack of transparency, saying, "We need a more transparent system to actually negotiate debt restructuring frameworks for African countries."
The expert warned of looming challenges as debt repayments come due.
"Many countries will start repaying their debts after the debt service suspension initiative in 2025," Jong said.
"And many countries will start repaying their debts at a very high interest rate already."
Jong called for a coordinated African approach to debt negotiations, arguing it would help nations "overcome the vulnerabilities that come with the political fragmentation."