The United Nations reported on Tuesday that global public debt rose to a record level of $97 trillion last year, with developing countries owing about one-third of this amount.
This debt hinders their ability to cover the costs of essential government services such as healthcare, education, and climate action.
The United Nations Conference on Trade and Development (UNCTAD) noted that the amount owed by governments increased by $5.6 trillion from 2022. In a report published on Tuesday, the organization stated that high interest payments are outpacing growth in basic public spending, as reported by the Associated Press.
In the developing world, which is home to more than 3.3 billion people, one in three countries spends more on interest payments than on programs in “critical areas for human development” such as healthcare, education, and climate.
In 2023, public debt in developing countries reached $29 trillion, or about 30% of the total global public debt—up from a 16% share in 2010, according to the United Nations.
The report, titled “A World of Debt,” stated that “developing countries should not be forced to choose between servicing their debt and serving their people,” adding that “the global financial system must change to ensure a prosperous future for people and the planet.”
