By Joy Baba—Yesufu
The African Union (AU) Summit 2025 in Addis Ababa, Ethiopia, has placed a critical focus on the urgent need to reform the global financial system to advance justice and reparations for Africa. Under the theme “Justice for Africans and People of African Descent through Reparations,” the summit has convened leaders, experts, and advocates to address historical and systemic financial inequities that have long hindered Africa’s development.
Serah Makka, Africa Executive Director at One Campaign, opened the discussions by tracing the origins of the global financial system, which was designed in the 1920s and 1940s, an era when most African nations were under colonial rule.
“The system was not built to serve sovereign African states, leaving them at a significant disadvantage,” Makka stated.
She highlighted that African countries pay up to 500% more than others to access capital markets, despite having similar credit ratings. This disparity fuels a debt crisis, with 25 African nations spending more on debt servicing than on health and education combined.
“Africa doesn’t have a debt problem; we have a high cost of debt problem,” she asserted.
Makka also pointed to South Africa’s leadership in the G20 as a historic opportunity for Africa to push for systemic financial reforms that eliminate bias against the continent.
Adrian Chikowore, Senior Pan-Africa Advisor at Christian Aid, emphasized that reparative justice must include global financial system reform. He connected Africa’s economic struggles to the legacies of slavery, colonialism, and neocolonialism, which have left deep economic scars.
Chikowore called for debt cancellation and the creation of a multilateral debt resolution framework that ensures equal representation for all nations. He criticized the IMF and World Bank, stating:
“African countries hold less than 10% voting power in these institutions, meaning their needs are often overshadowed by the priorities of the global north.”
He also advocated for climate finance reparations, arguing that industrialized nations must compensate Africa, which is disproportionately affected by climate change despite contributing the least to global emissions.
Dr. Yungong Theophilus Jong, Policy and Advocacy Manager at the African Forum and Network on Debt and Development, underscored how African nations have historically been excluded from decision-making processes within global financial institutions. He called for an end to Africa’s position as a “rule taker” and a shift towards becoming a “rule maker.”
Dr. Jong emphasized the need to combat illicit financial flows, which drain billions from Africa annually, and to reform the governance of global financial institutions to ensure fair African representation.
“Reparative justice is not just about financial compensation,” he argued. “It is about dismantling the policies and structures that perpetuate inequality.”
The AU Summit 2025 has reinforced Africa’s collective demand for a fairer global financial system. Leaders, journalists, and citizens must amplify this call for justice and hold international financial institutions accountable.
This summit is more than just a gathering, it is a rallying cry for Africa to reclaim its economic sovereignty. The world is watching, and Africa’s voice must be heard.
