The report examines the relationship between public debt, poverty and income inequality in Southern Africa. It reviews global, African and subregional debt trends; analyses borrowing terms, debt servicing, fiscal capacity and institutional conditions; and assesses poverty and inequality across the subregion. Case studies of Botswana, Mauritius, Mozambique and Zambia illustrate contrasting experiences of fiscal responsibility, debt distress, restructuring and debt-financed development. Using panel data and econometric modelling, the study finds that high public debt is associated with increased poverty and that debt servicing and borrowing structures influence inequality. It recommends stronger fiscal responsibility, domestic revenue mobilization, debt transparency, improved negotiation of loan terms, deeper financial markets and better public investment management. It also advocates fully costed development plans, pro-poor investment, alternative financing instruments and faster, more predictable sovereign debt restructuring arrangements for Southern African countries.