Under The Radar: Private sector debt and coronavirus in developing countries
The coronavirus pandemic is leaving a trail of devastation in low-income countries – from widespread loss of life from the virus itself, to huge economic disruption that has left hundreds of millions of people – already struggling to make ends meet – without jobs or sufficient food. Despite this huge economic shock, many developing countries are continuing to pay off debts to rich countries, public institutions like the World Bank and IMF, and some of the richest banks and hedge funds in the world. This means they have less money to meet the immediate needs of their populations.
This briefing aims to shine a light on the debt owed to private creditors by five African countries: Ghana, Kenya, Nigeria, Senegal and Zambia. It outlines the steps which the G20 needs to take immediately to avert further economic chaos.