Akufo-Addo Calls Debt Restructuring "Darkest Hour" of Presidency

October 3, 2025 

Former Ghanaian President Nana Akufo-Addo has described the country's debt restructuring process under the G20 Common Framework as "one of the darkest and most painful episodes" of his time in office, revealing the heavy human cost behind Ghana's economic recovery.

A Painful Economic Rescue

Speaking at the AU-EU High-Level Seminar in Brussels on Thursday, Akufo-Addo admitted that while the debt restructuring provided temporary economic relief, it devastated ordinary citizens across Ghana.

"I witnessed the suffocating grip of debt on our economy and on our citizens. This deeply troubled me and still does," the former president told African and European leaders gathered on the eve of the AU-EU Summit.

Ghana adopted the Common Framework in 2023, restructuring $13 billion in Eurobonds and securing commitments that delivered $10.5 billion in external debt service relief through 2026. The country's debt-to-GDP ratio dropped from the mid-80s to 70.5 percent, restoring investor confidence and anchoring an IMF-supported programme.

The Human Cost

However, Akufo-Addo emphasized that macroeconomic success came with immense suffering. "The most painful part was the impact on ordinary people. Pensioners, young people, and small investors saw their lives and livelihoods shattered," he said.

The former president noted that the drawn-out, sequential nature of the process prolonged uncertainty, eroded public trust, and left lasting scars on citizens who bore the brunt of the economic adjustments.

Africa's Debt Crisis: "Not Economics, It's Inequity"

Expanding his remarks to Africa's broader debt crisis, Akufo-Addo argued that the continent's $1 trillion debt burden reflects a global financial system "not built to free us, but to bind us."

He highlighted that more than 30 African countries now spend more on interest payments than on public health. "Every dollar diverted to creditors is a dollar taken from a hospital, from a child's vaccination, from a community's future. This is not economics, it is inequity," he declared.

A Call for Justice, Not Charity

The former president renewed his call for bold reforms, including immediate debt service suspension, comprehensive restructuring, and new concessional financing for African nations.

"Debt relief for Africa is not an act of generosity. It is an act of justice," Akufo-Addo insisted, pushing back against narratives that frame debt relief as charitable assistance.

Linking Debt Relief to Climate Action

Akufo-Addo proposed a "Debt Relief for Green Investment and Resilience" framework that would link debt cancellation to climate resilience efforts. He reminded leaders that Africa contributes less than 4 percent of global emissions yet remains highly vulnerable to climate shocks, with climate reparations running into the trillions.

"To our European partners, I say this: hear the voice of your neighbouring continent. Stand with the AU and South Africa's G20 Presidency to advance ambitious reform of the Common Framework," he urged.

A Vision for Global Solidarity

While acknowledging Africa's responsibility to strengthen institutions, diversify economies, and leverage the African Continental Free Trade Area (AfCFTA), Akufo-Addo warned that without global reforms, even the most courageous local changes would be undermined by "predatory lending and punitive trade terms."

"The sacrifices we make today, the compromises, the collaborations we engage in today can only inure to the benefit of our world. When Africa rises free from the weight of debt, the whole world rises with it," he concluded.

The former president'scandid reflections come as African nations continue to grapple with mounting debt burdens and seek greater international support for economic reforms that balance fiscal stability with social protection.