Iran War Lifts Africa Debt Costs That Have Surged Since Pandemic

The Iran war is raising borrowing costs for African countries that are only just recovering from the post-pandemic shock that sent debt burdens soaring.

Research published Tuesday by ONE Data showed borrowing costs from the World Bank’s International Bank for Reconstruction and Development jumped to 5.2% in 2024 from 1.4% in 2020, as central banks lifted interest rates to quell surging inflation. Chinese lending rates for African countries rose to 5.7% from 2.5%.