AS many African countries grapple with heavy debt burdens and financial pressure, a few have quietly demonstrated notable fiscal discipline. According to the latest data from the International Monetary Fund (IMF), some nations are maintaining exceptionally low levels of debt to the institution—an achievement that reflects economic resilience and sound financial management.
IMF figures for March 2025, has identified the ten African countries with the lowest outstanding debt to the IMF, highlighting their strategic advantage amid a continent-wide struggle with inflation, unemployment, and limited development funding.
Why low IMF debt matters
African countries often turn to the IMF during times of economic distress. While such loans offer critical support, they are typically accompanied by strict conditions that can lead to austerity, cuts in essential public services, and increased social tension.
Nations with minimal debt obligations to the IMF can avoid these constraints, retaining greater sovereignty over their policy decisions and budgetary choices. This autonomy is vital for responding to local economic challenges without external pressures.
Low debt also sends a strong signal to investors, suggesting stability, low risk, and competent fiscal management—factors that can attract both foreign direct investment and long-term development funding.
IMF debt vs. economic freedom
High levels of debt can limit a country’s room to manoeuvre, tying governments to repayment plans and austerity measures that may harm vulnerable populations. On the other hand, lower debt obligations allow governments to invest more in critical sectors like healthcare, education, and infrastructure—without having to divert funds to meet IMF repayment schedules.
As a result, these countries are better equipped to foster inclusive growth, tackle structural inequalities, and reduce dependency on multilateral lenders.
Africa’s top 10 countries with the lowest IMF debt (March 2025)
According to the IMF’s official data, the following African countries had the lowest total IMF credit outstanding as of March 2025:
| Rank | Country | IMF Debt (USD) |
| 1 | Lesotho | $11,660,000 |
| 2 | Eswatini | $19,625,000 |
| 3 | Comoros | $20,628,865 |
| 4 | Sao Tome & Principe | $27,602,011 |
| 5 | Djibouti | $31,800,000 |
| 6 | Guinea-Bissau | $52,291,400 |
| 7 | Equatorial Guinea | $59,843,334 |
| 8 | Cabo Verde | $72,116,000 |
| 9 | Somalia | $87,000,000 |
| 10 | Seychelles | $99,839,500 |
Lesotho leads the continent with the lowest debt to the IMF, while countries like Eswatini and Equatorial Guinea showed slight debt reductions compared to the previous month, signalling ongoing efforts to maintain manageable debt levels.
What this means for the future
As global economic uncertainty continues and many African nations look for ways to stabilise their economies, those with low IMF debt stand on stronger footing. These countries are not only better able to direct their resources where they’re needed most, but they also enjoy more policy freedom and investor confidence—critical assets for sustainable development.
By maintaining prudent borrowing and fiscal management, these nations serve as models for debt sustainability on the continent.
