Debt Crisis in Africa

Abstract

The study aims at acknowledging the concept of debt crisis in Africa by tracing its historical development. The study also attempts to find out the causes of the debt crisis and its effects. Furthermore, it probes possible solutions for the problem. These solutions are suggested after discussing the relationship between debt crisis and environment on one hand and the debt crisis and gross domestic product on the other. The paper concluded to some significant results including the two beginnings of the debt crisis, the first and the actual beginning. The study also concludes to the existence of a continuum of debt increase.  It suggests using macroeconomic policies for solving the crisis and imposing debt canceling by 50% to solve the problem.