Advocacy
Allied Fields
Debt being prioritised over children’s education: Save the Children sounds alarm
Freya Lucas
Oct 13, 2022
Save
One in three children in the world’s poorest countries are missing out on vital early years education because their governments pay more on debt repayments than education, according to child rights organisation Save the Children.
“Education systems desperately need more and better funding across low- and lower middle-income countries,” said Hollie Warren, Head of Global Education Policy and Advocacy at Save the Children UK.“Instead, they are being gutted to service unmanageable debts. It is wrong that the world’s poorest children are having to suffer because of a debt crisis that was not of their making.”
A new analysis shows that 21 out of 70 low- and lower middle-income countries with available data spent more on external debt than they did on education in 2020. The analysis also shows that by 2024, interest payments are expected to absorb on average 10 per cent of the annual budget across low-and lower middle-income countries, an increase from 7 per cent in 2015, diverting further resources towards debt servicing and away from social sectors, including education.
Nearly one-third of children in low-income countries still do not complete primary school. Even before the pandemic, the world was not on track to meet the goal of all children in school and learning, with an estimated 200 million children expected to be out of school in 2030. Now, children’s education and their futures are under serious threat from multiple crises, including COVID-19, more frequent and dangerous conflicts, and climate change.
“Global education leaders have the opportunity to fix this at the forthcoming Annual Meetings of the World Bank Group and International Monetary Fund,” Ms Warren continued.
“The Annual Meetings offer an important opportunity for governments and education leaders to come together to mobilise action for education for every child. For us to stand any chance of success in meeting the challenges ahead, more and better financing for education is non-negotiable. This funding needs to be spent more fairly and target the children most impacted by inequality and poverty.”
According to the International Monetary Fund, more than half of lower income countries are either in or at moderate or high risk of debt distress as of August 2022.
UNICEF estimates that children from the poorest households in low-income countries receive only 10 per cent of government funding towards education, compared to 38 per cent for children from the richest households.
Save the Children is calling on governments in low- and middle-income countries to increase their education spending to at least 20 per cent of their budget by progressively expanding their tax base, improving debt sustainability, accessing sustainable and affordable loans, and accessing new forms of innovative finance.
To learn more about the work of Save the Children, please see here.
Don’t miss a thing
Related Articles
