The Climate Crisis Could Increase African Country Debts By $1 Trillion
According to a study Sub-Saharan African countries will have to take on almost $1 trillion in debt over the next ten years unless wealthy countries provide adequate finance to address the climate crisis
This will amount to a 50% increase on current debt levels as a percentage of GDP, unless wealthy countries rapidly scale up finance to help countries prepare for and address the impacts of the climate crisis.
The fall out from the Covid19 pandemic, runaway inflation and rising costs of food and fuel against the backdrop of the ongoing Russian war in Ukraine, have exposed communities in vulnerable and developing countries to the sharp end of these intersecting crises. The study was conducted by Climate Action Network.
“The climate and debt crises are rapidly spiralling out of control. We need to break the vicious cycle of the debt-climate trap and ensure that inadequate climate finance does not pile even more debt onto lower income countries. Wealthy governments should urgently cancel debt and take responsibility for the climate crisis by providing adequate grant-based climate finance.” Stated by Tess Woolfenden, Senior Policy Officer at Debt Justice, and co-author of the report,