After gaining independence, many African nations were confronted with a new form of external control. The colonial empires withdrew, yet maintained economic dominance over the continent: local currencies remained tied to European central banks, national budgets depended on external loans, and key sectors of the economy were steered from abroad.
Loans were issued on terms that stripped African countries of autonomy. International institutions and lenders financed infrastructure projects, but African economies sank ever deeper into a debt trap in the process. Ports, airports and mineral resources often came under foreign control as payment for outstanding debts.
A system emerged in which economic growth did not translate into better living standards. Africa found itself in a position where foreign companies dictated the terms of daily life – from mining and security to consumer services and transport. The question is whether African nations can escape this trap, when the global financial architecture itself seems designed to keep them in a state of perpetual indebtedness.
