UN Study Warns Debt Pressures Could Endanger Millions of Women’s Jobs

(MENAFN) A UN development body has warned that increasing pressure from sovereign debt repayments could indirectly threaten the equivalent of about 55 million jobs held by women in the near future. The concern is that governments facing heavy repayment obligations may reduce spending on public and social services, with wide-ranging economic consequences.

According to reports, the findings highlight that debt pressures are not only financial challenges but also have significant human and social dimensions. One senior UN official explained the broader impact, stating:

"Sovereign debt is not a math problem. It is a human one. This analysis sheds new light on how crushing debt payments leave many governments across the world with limited fiscal space and lead to cuts to vital social services – with the heaviest toll falling on women,"

The analysis further explains that when governments scale back public care systems, the responsibility for caregiving often shifts back to households. This shift tends to fall disproportionately on women, reducing their ability to participate in paid employment and limiting broader economic opportunities. It is argued that debt management approaches should protect funding for social and care-related services, as these are considered essential for long-term economic resilience and human development.

The report, which examines data from 85 developing countries, estimates that as countries move from moderate to high debt repayment levels, women’s income per person could drop by around 17%, while men’s income remains largely stable. It also projects a significant rise in maternal mortality rates—by approximately 32.5%—under higher debt burden conditions.

Another UN gender equality official emphasized the uneven effects of fiscal tightening, saying:

"when public spending is squeezed by debt repayment, it is women who lose first — their jobs, their services, their economic security."

The official also called for stronger policy measures, including integrating gender-focused assessments into economic decisions, protecting investments in care and social infrastructure, and adopting budgeting systems that track how debt servicing impacts different groups within society.

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