Ato Forson demands a fair global deal on Africa’s $1.3 trillion debt

Ghana’s Finance Minister, Dr. Cassiel Ato Forson, says Africa’s $1.3 trillion debt crisis requires a fairer global framework to prevent distressed economies from collapsing.

Reiterating the urgency of the matter in Accra, Dr. Forson stressed that Africa’s $1.3 trillion debt burden cannot be ignored or wished away, but must be tackled through an equitable global response. He explained that the issue goes beyond Ghana, as at least 23 African countries now face debt servicing costs that have crowded out critical social spending.

The Finance Minister emphasized that Africa’s $1.3 trillion debt challenge demands fairness and inclusivity, warning that simply rejecting repayment is not a viable path. Instead, he said, the continent needs a comprehensive framework that addresses sustainability while considering the economic realities of highly indebted nations.

Dr. Forson made these remarks after receiving a petition from the African Regional Organization of the International Trade Union Confederation (ITUC-Africa) in partnership with the Trade Union Congress (TUC) of Ghana. The petition called for outright cancellation of Africa’s external debt, arguing that massive repayments undermine social investments, job creation, and poverty reduction.

“There are differences between we can’t pay and we won’t pay. You saying you won’t pay means you have the resources but refuse to. That is repudiation. But when you say you cannot pay, it means something significant has happened. For these 23 African countries, their debt service cost has crowded out very important spending, and so they simply cannot pay,” he explained.

Dr. Forson welcomed the advocacy push but insisted that debt sustainability analysis should guide decisions, not populist calls for blanket repudiation. He pointed to Ghana’s own restructuring of external and domestic debts as an example of why global financial systems must evolve to accommodate distressed economies.

The campaign for debt relief has been growing across the continent, with unions, civil society, and policymakers warning that without decisive action, Africa risks a vicious cycle of unsustainable borrowing, austerity, and stunted development.