The Vatican has recently taken a significant step to address the escalating sovereign debt crisis that is severely impacting nations across the Global South, including Ghana. This week, a new high-level Global Commission of Economic Experts was established, tasked with proposing comprehensive solutions to what Pope Francis has described as a “deepening moral and economic challenge.” This initiative underscores the Vatican’s long-standing advocacy for international cooperation and economic justice.

According to an official statement, the commission aims to foster fair restructuring mechanisms and promote long-term economic stability for vulnerable nations burdened by unsustainable debt. The decision comes amidst growing concerns over the financial fragility of developing countries, many of which are struggling to recover from a confluence of challenges, including the COVID-19 pandemic, climate-related disasters, and rising global interest rates. The Vatican emphasized that the sovereign debt crisis is not merely an economic concern but also a profound “moral test of our global solidarity.”

The newly formed commission will convene a diverse group of economists, financial experts, and representatives from affected regions. Their mandate is to meticulously examine both the underlying causes of the crisis and to identify viable paths forward. Ghana serves as a prominent example of a nation grappling with these pressures, having recently concluded a debt restructuring agreement with official creditors under the G20’s Common Framework. This highlights the urgent need for global solutions.

Pope Francis and the Vatican have consistently called for debt forgiveness and a fundamental reform of the international financial system. Pope Francis has previously advocated for a “new architecture of international finance” that prioritizes human dignity and sustainable development, demonstrating a consistent commitment to alleviating the burdens on the world's most vulnerable economies.