A new report by S&P Global has warned that African hard-currency debt repayments are expected to surge beyond $90 billion in 2026, signalling a period of heightened financial vulnerability for multiple economies across the continent.

According to the report, the projected increase reflects a combination of maturing Eurobonds, elevated global interest rates, and constrained access to international capital markets.

Rising External Pressure

S&P analysts note that many African governments are facing growing pressure to service foreign-denominated debt at a time when local currencies remain weak and fiscal space is narrowing. The situation is expected to place strain on foreign exchange reserves and public finances, particularly for countries with limited revenue diversification.

The report highlights that refinancing risks remain elevated, with several sovereigns likely to rely on multilateral support, debt restructuring, or fiscal consolidation to meet obligations.

Market Access and Investor Confidence

The warning comes as African issuers continue to experience reduced access to global bond markets, following years of tightening financial conditions. Higher borrowing costs and investor caution have made new issuance increasingly difficult, forcing governments to prioritise debt servicing over development spending.

Economists caution that prolonged debt stress could slow infrastructure investment and social programmes if not carefully managed.

Policy and Reform Outlook

S&P emphasised the importance of debt transparency, fiscal discipline, and engagement with international financial institutions to mitigate risks. Analysts also pointed to the need for long-term structural reforms to strengthen domestic revenue mobilisation and reduce reliance on hard-currency borrowing.

The report concludes that while debt pressures are not uniform across the continent, 2026 is shaping up to be a critical stress point for African sovereign finances.