The Causes and Impact of the African Debt Crisis

Bibliographic Data

ID10429656
AuthorsAlex Danso (corresponding author)
Year1990
Volume19
Issue1
Pages5-21
Publication date1990-06-01
Peer ReviewedYes
Open AccessYes
TypeARTICLE
VenueThe Review of Black Political Economy (JOURNAL)
Journal identifiersISSN: 0034-6446 • E-ISSN: 1936-4814
PublisherSAGE Publishing (PUBLISHER • US)
DOI10.1007/bf02899929
OpenAlexW1981095122
LanguageEN
Citations received8
References cited7

This article examines the African debt crisis. It focuses on factors leading to the accumulation of the debts and their impact on the debtor nations. The significance of the study lies in the fact that the African debt burden presents a gruesome picture of hopelessness. This is reflected by the continent's massive debt of $230 billion, equivalent to almost three times the continent's annual export earnings. This is expected to jump to $550 billion by the year 2000. Africa's crushing debt burden has become one of the most important factors constraining recovery and development. As the United Nations Children's Fund estimates, one thousand people die each day in Africa because of the debt crisis. The analysis shows that due to the multifaceted nature of the causes of the debt crisis, both creditors and debtors should agree on the options for dealing with the crisis. It further shows that there is the urgency for Africa to tackle its numerous sociopolitico-economic problems. Africa can make real economic progress only when it begins to get on top of its debt crisis

Creditor · Debt · Debt crisis · Debt levels and flows · Debtor · Development economics · Earnings · Economic policy · Economics · External debt · Financial crisis · Financial system · Internal debt · Macroeconomics · Finance · Global Financial Crisis and Policies