The UK Treasury ministry has consistently been a key obstacle to UK-led efforts to make debt systems fairer for developing countries, advocacy groups and MPs have told The Independent, limiting progress on an issue many believe will be crucial to meeting global development goals in the wake of foreign aid cuts.
Following global shocks such as the Covid-19 pandemic, low-income countries now spend an average of 18 per cent of government revenue servicing external debt, while 3.3 billion people live in countries that spend more on debt repayments than on health or education. Countries are also paying billions more to cover debts than they are receiving as aid to fight climate crisis
Momentum has, however, been building behind efforts to push…