Stakeholders and residents of Kogi State have called for urgent reforms of the global financial system, saying that Africa’s sovereign debt burden is depriving citizens of health, education and other basic services.

Community leaders and representatives made the call yesterday at Sarkin Noma in Lokoja during the Freedom from Debt campaign, spearheaded by AIDS Healthcare Foundation (AHF Nigeria).

This comes as the Senior Advocacy and Marketing Manager, AHF Nigeria, Mr Steve Aborisade, while presenting a policy brief titled, ‘The Crushing Reality of Sovereign Debt’, said the system was “failing by design,” as low and middle-income countries pay two to four times more interest than the United States, and up to 12 times more than Germany.

Noting that 3.4 billion people live in countries that spend more on debt payments than on health or education, he stressed that no country should have to choose between protecting its people and paying an unfair debt.

The stakeholders urged international lenders and creditors to automatically suspend debt repayments for the developing countries affected by pandemics and natural disasters.

They urged a reduction in interest rates on loans to enable developing nations to invest more in healthcare, education, water supply and other critical infrastructure.

Among them, a community leader, Mr Nasiru Illiyasu, also called on the Nigerian Government to inaugurate the borrowers’ forum, which was proposed at the Seville Financing for Development summit and the G20 summit in South Africa to strengthen collective bargaining.

Also, a youth leader, Idris Yahaya, called for mandatory pauses on debt servicing during health and climate emergencies, while a women representative, Asimau Abdulmalik, proposed a one per cent AI Solidarity Levy on AI-related capital and profits to fund debt relief and social protection.

Meanwhile, the royal father of Sarkin Noma, Bala Musa, expressed optimism that the campaign for debt freedom would go a long way toward improving the lives and well-being of rural communities across Africa.

However, some of the leaders emphasised that African leaders at all levels must be responsible, transparent, and accountable in utilising available resources, especially after debt relief has been granted.