Debt is a burden some countries can't escape
Unfair global debt must be cancelled urgently, a Scots aid group has demanded.
Lower-income countries are spending more on debt repayments than ever before, according to the Scottish Catholic International Aid Fund (SCIAF).
In 2023, Africa paid out 50 times more in debt repayments than it received in UK aid. This broken system is bleeding countries dry, making it impossible for them to climb out of poverty.
SCIAF’s International Accountant Lee Dornan (pictured), who scaled Arthur’s Seat in Edinburgh to raise awareness about the issue, said: “This global debt is unjust and unsustainable. Massive repayments drain national budgets, leaving governments very little money left to pay for basics such as healthcare and education.
“When debt payments obstruct funding for hospitals or schools, it’s more than a financial issue—it’s a moral one. And that’s why SCIAF are taking a stance.
“This type of global debt affects people and families, perpetuates poverty, and undermines fundamental human rights.”
SCIAF, which is part of the global caritas network of Catholic relief agencies, is uniting with 134 of their sister organisations to call for an end to this destructive debt cycle.
Dornan added: “Many countries in the Global South are trapped in debt due to borrowing from big banks and hedge funds – and at exorbitant interest rates.
“Conflict, climate change and events like COVID-19 force poor countries to borrow large sums to support people – but instead of the international community rallying around the poorest countries in their time of need, they are instead forced to borrow money with extremely high interest rates to survive. This is wrong.”
This year, SCIAF is campaigning for a permanent and fair solution to global debt. And right now, the UK has a big opportunity to make a difference. 9 out of 10 debt contracts are controlled by English law, so closing down these legal loopholes would mean that big banks and hedge funds can’t continue squeezing the world’s poor but must instead broker a fairer deal.
Dornan said: “SCIAF’s focus on global debt is not just about economics. By campaigning for change, we can cancel debt and choose hope.
“We hope as many people as possible will sign up. Please visit our website to act now: sciaf.org.uk/canceldebt.”
