Updated
Updated · The Guardian · Jul 10
Unesco Says 113 Developing Nations Spent More on Debt Than Education in 2025
Updated
Updated · The Guardian · Jul 10

Unesco Says 113 Developing Nations Spent More on Debt Than Education in 2025

2 articles · Updated · The Guardian · Jul 10

Summary

  • 113 developing countries spent more servicing foreign debt than funding education in 2025, Unesco said, with sub-Saharan African states spending 3.6 times more on debt on average.
  • Aid losses are deepening the squeeze: low- and lower-middle-income countries have already lost 21% of education aid since 2023 and could lose up to 30% by 2027.
  • Debt pressure is most acute in heavily indebted states, where 18 countries spent five times more on debt than education and Sri Lanka spent up to 16 times more.
  • Debt Justice said poorer countries' repayments hit a 35-year high last year, with 56 countries using nearly a fifth of total revenue on loans after Covid, energy, rate and climate shocks.
  • Unesco warned the combined hit from debt service and aid cuts is disrupting schools and unpaid teachers, and called for longer-term debt relief that also binds private creditors.

Insights

With private lenders blocking debt relief, can a UK law change truly rescue education for millions?
As debt devours Africa's future, are 'debt-for-education' swaps a real solution or just a fantasy?
Could a 'Flourishing Impact Statement' force global finance to value children's education over creditor profits?

Global Education at Risk: How Escalating Debt Threatens Learning for 273 Million Children

Overview

The report highlights how the escalating burden of debt, especially in low- and middle-income countries, is threatening the global goal of quality education for all. Current financial strategies are trapping developing nations in a harmful cycle of austerity and underinvestment, which weakens economic growth and erodes their ability to generate domestic revenue. As a result, these countries struggle to manage debt over time, and crucial funds are diverted away from essential public services like education. This critical issue is now being discussed at high-level forums, emphasizing the urgent need for solutions to protect education from the impacts of debt.

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