Oil Prices Could Undercut Debt Relief for Africa

Africa’s poorest countries could lose the benefits of a debt-relief package because of a sharp jump in the cost of their oil imports.

The debt deal, agreed by Group of Eight (G-8) finance ministers last month, is set to save sub-Saharan African nations about $1bn a year.

International Energy Agency officials believe, however, that the rise in crude prices will cost the region an additional $10,5bn a year in oil imports.