Developing Countries Spend More on Foreign Debt Than Education, UNESCO Finds

A new UNESCO report has exposed the stark reality facing education systems across the developing world, revealing that debt servicing is consuming budgets that could otherwise support children's learning. In 2025, 113 developing countries allocated more public funds to repaying foreign debt than to educating their young people, with the disparity particularly acute in sub-Saharan Africa where governments spent 3.6 times more on loans than on schools. The findings come at a critical moment as global aid to education is projected to decline by as much as 30%, compounding the pressure on nations already struggling to provide quality schooling. Eighteen countries examined in the study spent five times more on debt servicing than on education, illustrating the devastating trade-offs forced upon governments servicing historical loans whilst attempting to invest in future generations. For UK local authorities and education leaders, the report serves as a stark reminder of education's vulnerability in fiscal crises and the importance of protecting school budgets. Whilst the data reflects developing economies, it underscores universal truths about the long-term costs when education funding is deprioritised, offering lessons for safeguarding provision during periods of financial constraint closer to home.