TheCable

The United Nations Economic Commission for Africa (UNECA) says the continent needs $3 trillion annually until 2030 to achieve the sustainable development goals (SDGs).

Claver Gatete, executive secretary of UNECA, spoke on Thursday at a programme to address the challenge of national public debt and its impact on social protection and the achievement of SDG 1 in Africa.

The virtual event was organised by Global Call to Action Against Poverty (GCAP), a network of more than 11,000 civil society organisations (CSOs), across the world.

Gatete said there has been a surge in poverty and hunger crises in the past five years in African countries.

He said the debt, financial and climate challenges have increased by 180 percent in the past 14 years, adding that about 21 African countries are at high risk of or in debt distress.

“For Africa as a whole, public debt now amounts to 66 per cent of GDP and high repayment costs are crowding out essential expenditures on health, education and climate action,”  NAN quoted Gatete as saying.

He said despite the projected gross domestic product (GDP) growth of 3.5 percent in 2024 which surpassed the 2.8 percent recorded in 2023, the expansion falls short of meeting agenda 2063 of the continent.

The executive secretary said global shocks, disrupted supply chains, eroded fiscal space and reduced access to finance are contributing to the limited growth of African countries.

“A lack of concessional borrowing is leaving African governments to decide whether to borrow at the national level or borrow externally and deal with the challenges of foreign exchanges and exchange rate fluctuations,” he said.

Gatete added that Africa must start developing solutions as its resources are needed across the world.