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Debt Dynamics and Development Finance in Africa (July 2016)

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Debt Dynamics and Development Finance in Africa (July 2016)

22nd July 2016

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Africa has major development aspirations in the broader context of a global and continental economic development agenda. This calls for substantial financial resources at a time when the global development finance landscape is changing, from a model centred on official development assistance and the coverage of remaining financing needs through external debt, to a framework with greater emphasis on the mobilisation of domestic resources.

The Economic Development in Africa Report 2016, subtitled Debt Dynamics and Development Finance in Africa, examines some of the key policy issues that underlie Africa’s domestic and external debt, and provides policy guidance on the delicate balance required between financing development alternatives and overall debt sustainability.

This report analyses Africa’s international debt exposure and how domestic debt is increasingly playing a role in some African countries as a development finance option. It also examines complementary financing options and how they relate to debt.

The report makes relevant and actionable policy recommendations which address the roles that African Governments, external partners and the international community can play in ensuring that Africa’s public debt remains sustainable.

Report by Unctad

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