Ghana’s Finance Minister, Dr. Cassiel Ato Forson, has reinforced calls for a more just and sustainable global approach to Africa’s ballooning debt, which has surpassed US$1.3 trillion.
Speaking in Accra after receiving a petition from the African Regional Organization of the International Trade Union Confederation (ITUC-Africa) and the Trade Union Congress (TUC) of Ghana, Dr. Forson stressed that while Africa’s debt crisis is undeniable, blanket refusal to pay is not a practical option.
“Africa cannot simply declare a refusal to repay its obligations. What is required is a fairer and more sustainable framework that considers the plight of heavily distressed economies, including Ghana,” he said.
The petition, submitted jointly by ITUC-Africa and the TUC, pressed for a total cancellation of Africa’s external debt, warning that huge repayments were starving the continent of resources needed for social investments, job creation, and poverty reduction.
Dr. Forson welcomed the advocacy, highlighting that debt sustainability has become a renewed focus of international debate as African economies contend with post-COVID shocks, high inflation, and currency depreciation.
“There are differences between ‘we can’t pay’ and ‘we won’t pay,’” he explained. “We can’t pay means something significant has happened. Saying you will not pay means you have the resources but deliberately don’t want to. That is debt repudiation. But when you say you cannot pay, it means something significant has happened as to why you cannot pay.”
He pointed out that 23 African countries are now in debt distress, with servicing costs consuming critical fiscal space. “Their debt service cost has crowded out very important spending, and so if you conduct a critical debt sustainability analysis, they simply cannot pay,” he stated.
Ghana, which is restructuring both its external and domestic debts, stands as a stark example of the urgency for a more humane and inclusive debt resolution mechanism, Dr. Forson noted.
Across Africa, pressure for debt relief has intensified, with unions, civil society, and policymakers demanding stronger global intervention. Advocates warn that without decisive action, the continent risks remaining stuck in a cycle of unsustainable borrowing and harsh austerity measures.
“As unions have rightly argued, debt relief is not just about fiscal balance sheets it is about preserving the ability of African states to invest in people, infrastructure, and jobs. That is the conversation the world must now face,” Dr. Forson concluded.
