Developing countries have launched the first-ever Borrowers’ Platform at the International Monetary Fund (IMF)-World Bank Spring Meetings 2026, marking what policymakers described as a major step toward rebalancing a global financial system long shaped by creditor interests.
The initiative, with the United Nations Conference on Trade and Development (UNCTAD) serving as its secretariat, creates a dedicated forum for finance ministers and central bank governors from developing economies to exchange knowledge, strengthen coordination and articulate a collective position on sovereign debt challenges.
Secretary-general of UN António Guterres called the platform “a breakthrough in global financing… a platform in which borrowing countries sit together, learn from each other, and speak with a collective voice.”
Against this backdrop, overall debt levels in the developing world remain elevated and continue to rise. External debt stood at $11.7 trillion in 2024, contributing to a global public debt stock of $102 trillion, of which developing countries account for roughly $31 trillion. While their share is smaller, their debt has grown at twice the pace of developed economies since 2010, according to UNCTAD.
Debt servicing obligations have become a major constraint on public finances. Developing countries are now spending close to 10 per cent of government revenues on interest payments to external creditors, while least developed countries allocate nearly a quarter of their revenues. In total, debt service costs are nearing $920 billion annually, with external public debt servicing alone recorded at $487 billion in 2023.
The human impact is stark: 54 countries, home to 3.4 billion people, spend more on debt servicing than on either health or education. “These pressures have constrained public investment,” UNCTAD noted, limiting governments’ ability to fund growth, resilience and essential services.
Rebeca Grynspan underscored the urgency of reform, saying, “3.4 billion people deserve better outcomes. They’re not asking for charity. They want a level playing field where finance enables development rather than constraining it.”
For decades, sovereign debt coordination has largely been driven by creditor-led mechanisms such as the Paris Club, leaving borrowing countries without a formal platform to coordinate among themselves.
UN officials and member states have increasingly argued that this asymmetry has weakened developing countries’ ability to respond effectively to debt crises and negotiate fairer outcomes.
The Borrowers’ Platform is designed to address this imbalance by providing a borrower-led space focused on sharing experiences and practical solutions, peer learning and technical cooperation, strengthening debt management capacity, and enhancing participation in global debt discussions.
Importantly, the platform is not intended as a crisis coordination or debt restructuring forum, nor as a collective bargaining mechanism, but rather as a technical and cooperative space.
The idea of a borrowers’ platform has gained traction over the past year within the UN system. It was first formally proposed by the UN secretary-general’s Expert Group on Debt in June 2025 and later endorsed in the Sevilla Commitment 2025 at the Fourth International Conference on Financing for Development.
Further backing came through the UNCTAD16 Geneva Consensus 2025, which called on UNCTAD to facilitate technical exchanges among borrower countries and strengthen their collective voice.
Paragraph 48 of the Sevilla Commitment calls for establishing a platform for borrower countries to discuss technical issues, share information and experiences, increase access to technical assistance and capacity-building, coordinate approaches and strengthen their voices in the global debt architecture.
Data from UNCTAD points to deep structural imbalances in global finance that continue to disadvantage developing economies. Since 2020, these countries have faced borrowing costs two to four times higher than those of the United States, significantly increasing repayment pressures. As a result, about half of developing countries now spend at least 6.5 per cent of their export revenues on servicing external public debt.
These pressures are reflected in worsening financial flows. In 2023, developing countries experienced a negative net resource transfer, paying $25 billion more to external creditors than they received in fresh disbursements. At the same time, interest burdens are rising rapidly, with net interest payments reaching $921 billion in 2024, a 10 per cent increase over the previous year. A total of 61 countries now allocate at least 10 per cent of government revenues to interest payments, signalling growing fiscal stress.
This dynamic is increasingly crowding out critical spending, particularly in health, education and climate action, raising concerns about long-term development prospects and fiscal sustainability.
As secretariat, UNCTAD will anchor the platform’s work, drawing on its long-standing expertise in debt management. Its Debt Management and Financial Analysis System (DMFAS) programme, mandated by the UN General Assembly, has supported over 75 governments for more than 40 years, helping countries improve debt transparency, governance and sustainability.
The programme aims to strengthen governments’ ability to manage debt effectively in support of poverty reduction, development and financial stability.
By fostering cooperation, improving transparency and strengthening technical capacity, the Borrowers’ Platform is expected to contribute to more sustainable debt outcomes. Over time, it could also send positive signals to financial markets by reducing uncertainty and improving debt management practices, potentially lowering borrowing costs for developing economies.
As global debt pressures intensify, the platform represents a shift toward a more inclusive international financial architecture—one in which borrowing countries, for the first time, have a structured space to coordinate, share knowledge and shape the rules that govern global finance.
The platform’s launch drew representatives from 30 countries, including prime ministers, 16 finance ministers and central bank governors, signalling broad political momentum. Participants ranged from large emerging economies such as India and South Africa to smaller and more vulnerable states like Maldives, reflecting the shared nature of debt challenges.
A working group led by Egypt as chair and Pakistan as vice-chair, alongside Colombia, Honduras, Nepal, Zambia and Maldives, will guide the initiative’s next phase.
Member states agreed to expand participation, establish interim governance arrangements and define a work programme ahead of the IMF-World Bank Annual Meetings 2026.