Standard & Poor's Global Ratings has warned of escalating debt risks facing African governments, with increasingly repayment dates for hard currency-denominated debt approaching 2026.
The agency indicated - according to Reuters - that these maturities will impose additional pressure on the external reserves of African countries, which may exacerbate the risks of debt refinancing, especially in light of tight global financial conditions and high borrowing costs.
She explained that weak financial margins and challenges in accessing international financing markets may increase the fragility of the financial conditions of some countries, which requires taking proactive measures to manage debt and enhance foreign exchange sources.
