By Admin
Minister of Finance, Wale Edun, has warned that interest rates exceeding 10% on commercial loans are unsustainable for African countries, making it difficult to fund critical infrastructure, healthcare, education, and industrial projects.
Speaking at the 39th African Union Summit in Addis Ababa, Edun called for reforms in the global financial system to allow developing nations access to lower-cost financing.
He highlighted that African countries currently pay more in debt servicing than they receive in foreign investment or development aid, placing significant pressure on national budgets.
Edun urged African governments to strengthen domestic economies, improve public finance management, and adopt new development and financing models.
He stressed that long-term growth and stability require coordinated reforms internationally and nationally to reduce debt burdens and enable sustainable development.
