African countries are facing mounting pressure from sovereign debt, with many devoting a larger share of their budgets to debt payments than to healthcare, according to the United Nations. Governments including Zambia, Ghana, and Ethiopia have already sought debt relief, highlighting the strain on public services and economic development, Bloomberg reported.

In response, Group of 20 finance ministers and central bank chiefs released a last-minute declaration on Wednesday aimed at addressing the crisis. The statement commits to improving the Common Framework for debt relief, enhancing coordination among creditors, and boosting transparency, particularly for private lenders, Bloomberg reported.

The announcement, finalised barely an hour before midnight after what South Africa’s Governor Lesetja Kganyago called “touch-and-go” negotiations, was immediately criticised by campaigners and activists. Sara Harcourt, senior policy director at the ONE Campaign, said African nations were “having to choose between paying their debts or paying teachers and nurses,” adding that “urgent and effective action” was needed to lower borrowing costs and allow investment in people and economies. The European Network on Debt and Development described the measures as “inadequate and unambitious.”

Kganyago, speaking on the sidelines of the International Monetary Fund’s annual meetings, defended the declaration as realistic. He noted the complexities of private debt, often held by pension funds, and the difficulty of reconciling creditor and debtor positions. “Creditors want to be paid and debtors say that they can’t afford to pay, and therefore you should be forgiving my debt. And that is the contest,” he said, adding that calls for full debt write-offs were unrealistic.

The South African governor also highlighted the challenge of even agreeing on the wording of the statement, reflecting underlying tensions between G-20 member states. The declaration underscores the difficulties of finding actionable solutions to the sovereign debt crisis amid diverse and conflicting interests.