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Africa's domestic debt boom: Evidence from the African Debt Database

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  • Manger, Mark S.
  • Mihalyi, David
  • Panizza, Ugo
  • Rescia, Niccolò
  • Trebesch, Christoph
  • Wong, Ka LoK

Abstract

This paper introduces the African Debt Database (ADD) - a new, comprehensive dataset that traces both domestic and external debt instruments at a granular level. The main innovation is a detailed mapping of Africa's domestic debt markets, drawing on rich, new data extracted from government auction reports and bond prospectuses. The database covers over 50,000 individual government loans and securities issued by 54 African countries between 2000 and 2024, amounting to a total of USD 6.3 trillion in debt. For each instrument, it provides harmonized micro-level information on currency, maturity, interest rates, instrument type, and creditor. The data reveal the growing dominance of domestic debt in Africa - albeit with substantial cross-country variation. Four stylized facts stand out: (i) the rapid expansion of domestic debt markets, especially in middle-income countries; (ii) the wide dispersion in bor-rowing costs and real interest rates; (iii) large cross-country differences in maturity structures and associated rollover risks; and (iv) a rising debt-service burden, particularly due to international bonds. Generally, this project shows that debt transparency is both feasible and valuable, even in data-scarce environments.

Suggested Citation

  • Manger, Mark S. & Mihalyi, David & Panizza, Ugo & Rescia, Niccolò & Trebesch, Christoph & Wong, Ka LoK, 2025. "Africa's domestic debt boom: Evidence from the African Debt Database," Kiel Working Papers 2303, Kiel Institute for the World Economy.
    • Handle: RePEc:zbw:ifwkwp:331879
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    References listed on IDEAS

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    Keywords

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    JEL classification:

    • F34 - International Economics - - International Finance - - - International Lending and Debt Problems
    • H63 - Public Economics - - National Budget, Deficit, and Debt - - - Debt; Debt Management; Sovereign Debt
    • O55 - Economic Development, Innovation, Technological Change, and Growth - - Economywide Country Studies - - - Africa

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