In 2025 most developing countries spent more on debt service than on education, according to a policy paper by the United Nations Educational, Scientific, and Cultural Organization (UNESCO). The UNESCO report titled, Breaking the Debt Trap: Policy Paper on Restoring Fiscal Space to Save Education states that 113 countries pay more for debt service than education, and the debt payment of the 18 poorest countries was five times the spending on education. The most extreme case in 2025 was Sri Lanka, where spending on debt was 16 times that spent on education. The average debt payments for Sub-Saharan Africa is 3.6 times what is spent on education. The report warns that this debt which was allegedly aimed to help developing countries out of poverty, has instead trapped these countries in a cycle of austerity, under-investment, and has only widened the development gap.
The report also warns that international aid for education has been declining and is expected to drop up to 30% more by 2027. Over the past three years several countries including Afghanistan, Mali, Niger, and Liberia have already lost 40% of this educational assistance.
