External debt refers to the money borrowed by a country from foreign lenders. This includes loans from international financial institutions and foreign governments. It can impact a nation's economy and currency stability. High external debt may lead to repayment challenges. Proper management is crucial for sustainable growth. Understanding its implications is vital for economic policy and development strategies.
In 2023, developing nations faced an unprecedented challenge as they collectively spent $1.4 trillion on servicing foreign debt. This surge was driven by soaring interest costs, which reached...
