Angolan President João Lourenço, speaking in his capacity as African Union Chair, has renewed Africa’s call for fundamental reforms to the global financial system, warning that the continent cannot sustain development while trapped in a cycle of rising debt.
Addressing African and European leaders in Luanda during the AU–EU summit, Lourenço said Africa needs “fairer debt restructuring tools and innovative financing mechanisms” to manage increasing economic pressures.
He cautioned that while the G20’s Common Framework was intended to help poorer nations restructure debt during the COVID-19 era, its implementation has been slow and delivered limited relief.
“We cannot continue engaging the global financial system on terms that undermine our development ambitions,” Lourenço said. “Africa needs a new vision for how we borrow, how we restructure, and how we finance growth without sinking deeper into unsustainable debt.”
The call comes as many African countries struggle with tightening fiscal space, currency volatility, and growing debt-servicing obligations. Several nations — including Senegal and Mozambique — are facing heightened refinancing risks, underscoring the urgency for more effective global mechanisms.
United Nations Secretary-General António Guterres, who also addressed the summit, supported Africa’s push for sweeping reforms. He said the current financial architecture was “outdated, unfair, and incapable of supporting developing countries through prolonged shocks.”
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“Africa cannot be asked to achieve development goals while carrying the weight of a debt system designed decades ago for a different world,” Guterres said.
He urged global lenders to expand concessional financing, accelerate debt restructuring, and give developing nations a stronger voice in international financial institutions.
A panel of African debt experts at the summit recommended that the G20 move beyond piecemeal relief efforts and adopt a comprehensive refinancing plan.
They argued that Africa requires tools that extend beyond traditional repayment extensions, including more predictable restructuring pathways, reduced borrowing costs, and new financing instruments to mitigate external shocks.
“What Africa needs is not temporary breathing space, but structural solutions that allow governments to invest in people, infrastructure and climate resilience,” one expert said during the closed-door session, according to officials present.
The conversation has intensified following last weekend’s G20 summit in South Africa, where leaders pledged to strengthen the Common Framework. However, African officials maintain that reforms must be swift and far-reaching if the continent is to avoid a deepening debt crisis.
Lourenço closed his remarks by reiterating the AU’s readiness to work with international partners to design a fairer global financing system. “Africa is not asking for charity — we are asking for fairness, partnership and a system that recognises our right to grow,” he said.
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