UN Secretary-General Antonio Guterres has urged for a reform of the international financial architecture to provide African countries with adequate debt relief and resources, warning of a growing debt crisis that could lead to social unrest. He highlighted the need for increased concessional funding and a more effective approach to debt restructuring.
This article provides an update on key global data, analyzing upcoming monetary policy announcements, the US market’s reaction to political turmoil, the impact of the CrowdStrike outage, and the growing concern about debt levels worldwide. It explores how these developments are affecting global economies and what potential consequences they may have for India.
Kenya’s President William Ruto, who came to power promising economic relief, has faced violent protests over his proposed tax reforms aimed at tackling the country’s ballooning debt, primarily owed to China. The reforms, which included hikes on digital payments, bread, and cooking oil, triggered widespread outrage, particularly among youth, who have taken to the streets in frustration. Facing mounting pressure and the death of 23 protesters, Ruto has withdrawn the bill, leaving the government in a scramble to find alternative financing solutions.
