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The Borrowers’ Platform and the Future of Global Debt

Debt has become one of the most important challenges facing the global economy. Governments borrow money to finance infrastructure, healthcare, education, energy projects, economic development and public services. When managed effectively, borrowing can support economic growth and improve living standards. However, when debt repayments and interest costs become excessive, they can restrict government spending and weaken long-term development.

Developing countries are particularly vulnerable to high borrowing costs, currency fluctuations, economic shocks and limited access to affordable international financing. Many governments must balance debt repayments against the need to invest in their populations and economies.

According to UN Trade and Development (UNCTAD), developing countries’ external debt reached $11.7 trillion in 2024. UNCTAD has also reported that 3.4 billion people live in countries spending more on public-debt interest payments than on either healthcare or education. These figures highlight the pressure that debt can place on development priorities.

Against this background, the Borrowers’ Platform emerged as a new initiative designed to give borrowing developing countries a dedicated space to exchange experiences, improve debt-management capacity and strengthen their collective voice in international financial discussions.

Launched on 15 April 2026, the initiative represents an effort to address a long-standing imbalance in global debt governance. While creditors have established institutions and coordination mechanisms, borrowing countries have historically lacked a comparable dedicated platform for cooperation.

The initiative does not promise to eliminate sovereign debt or force creditors to accept new repayment conditions. Instead, it seeks to improve cooperation, knowledge-sharing and the ability of participating countries to manage debt more effectively.

As the platform moves into its first annual cycle, an important question remains: Can greater cooperation among borrowing countries help make the international financial system more balanced, transparent and development-oriented?

What Is the Borrowers’ Platform?

The Borrowers’ Platform is a member-state-led initiative supported by the United Nations system, with UNCTAD serving as its secretariat.

Its central purpose is to provide borrowing developing countries with a dedicated space to share practical experiences, exchange information, strengthen technical capacity and participate more effectively in discussions about sovereign debt and the international financial architecture.

The initiative was formally launched in Washington, D.C., on 15 April 2026, during the IMF–World Bank Spring Meetings. United Nations Secretary-General António Guterres attended the launch, highlighting its potential significance for global financial cooperation.

Unlike institutions that provide loans or oversee economic programmes, the Borrowers’ Platform is primarily a forum for cooperation and capacity-building.

Its activities can include peer learning, technical discussions, sharing debt-management practices, developing knowledge resources and improving transparency.

The platform is designed to complement existing international financial institutions rather than replace them.

Why Was the Borrowers’ Platform Created?

The platform emerged from concerns that developing countries face significant challenges in managing debt while having limited opportunities to cooperate with one another on an equal and continuous basis.

1. Rising Debt-Servicing Costs

Interest payments and debt repayments can absorb resources that governments might otherwise spend on essential services and investment.

UNCTAD’s A World of Debt 2025 report found that developing countries’ net interest payments on public debt reached $921 billion in 2024. A record 61 developing countries allocated at least 10% of government revenue to net interest payments.

These figures demonstrate that debt sustainability is not simply a financial issue. It can also affect development, poverty reduction and the delivery of public services.

2. Unequal Access to Affordable Financing

Developing countries often borrow at higher interest rates than advanced economies. Investors may demand higher returns because of perceived economic, currency or political risks.

As a result, two countries seeking financing for similar development needs can face substantially different borrowing costs.

3. Limited Technical Capacity

Debt management requires accurate records, careful forecasting, effective negotiations, risk assessment and a clear understanding of repayment obligations.

Countries with limited institutional resources may struggle to evaluate complex loan agreements, manage refinancing risks or assess the long-term costs of borrowing.

4. Fragmented International Debt Discussions

Sovereign debt involves numerous actors, including governments, multilateral institutions, bilateral creditors, commercial banks and bondholders.

Borrowing countries can face different procedures and information requirements when dealing with these creditors. A dedicated platform provides an opportunity to share experiences and learn from previous debt-management challenges.

5. The Need for a Stronger Borrower Voice

The initiative also responds to concerns about representation in international economic governance.

Its objective is to help borrowing countries participate more effectively in discussions that influence debt sustainability, financing conditions and development opportunities.

List of Borrowers’ Platform Members

UNCTAD’s official membership page lists the following 31 countries as current members at the time of writing.

No.	Country	No.	Country
1	Armenia	17	Jordan
2	Barbados	18	Kenya
3	Botswana	19	Lebanon
4	Bhutan	20	Lesotho
5	Central African Republic	21	Madagascar
6	Congo	22	Maldives
7	Côte d’Ivoire	23	Mauritania
8	Ecuador	24	Namibia
9	Egypt	25	Pakistan
10	Eswatini	26	Sierra Leone
11	Fiji	27	South Africa
12	Gabon	28	Saint Lucia
13	Ghana	29	Syrian Arab Republic
14	Guinea	30	Sudan
15	Honduras	31	Zambia
16	Zimbabwe

Note: The table above contains 31 named countries; the numbering in the first column should be read alongside the complete official list linked below. Membership can change as eligible countries join.

The membership spans Africa, Asia, the Caribbean, Latin America and other regions. This geographical diversity reflects the fact that debt-management challenges affect countries with different economic structures, populations and development priorities.

Some members face particularly difficult debt-service or refinancing pressures. Others may participate to strengthen their debt-management institutions, share experience or improve their preparedness for future financial shocks.

Membership should not be interpreted as proof that every participating country is in a sovereign debt crisis.

The Global Debt Crisis and Developing Countries

Debt is not inherently harmful. Governments often borrow to build roads, expand electricity networks, improve education, develop transport systems and finance other projects that can generate economic benefits over many years.

Problems arise when borrowing becomes too expensive, investment fails to generate sufficient returns, revenues weaken or repayment obligations become difficult to meet.

UNCTAD reported that global public debt reached a record $102 trillion in 2024. Developing countries accounted for approximately $31 trillion of that total.

The burden is particularly difficult when governments must borrow again to repay maturing obligations. If new financing carries higher interest rates, debt can become increasingly expensive even without a large increase in the original amount borrowed.

Currency depreciation can create another problem. A government that collects most of its revenue in local currency but owes substantial amounts in foreign currency may face sharply higher repayment costs when its currency weakens.

Economic shocks, commodity-price volatility, natural disasters, political instability and weaker export earnings can also reduce a government’s capacity to service debt.

These pressures can create a cycle in which governments devote more resources to repayments, leaving less fiscal space for productive investment and public services.

The Borrowers’ Platform seeks to help participating countries learn from one another and strengthen the institutions needed to manage these challenges.

Twenty Countries Facing Significant Debt Pressures

There is no single authoritative global ranking of the 20 countries experiencing the most severe debt crisis. Countries can be assessed by different measures, including debt-service costs, external debt, debt-to-GDP ratios, refinancing needs, arrears and formal debt-distress assessments.

The following is therefore an illustrative selection of 20 countries facing significant debt pressures or vulnerabilities, not an official ranking. Several are members of the Borrowers’ Platform, while others provide important comparisons for understanding the wider global debt situation.

The inclusion of member countries such as Pakistan, Egypt, Ghana, Zambia, Maldives, Sierra Leone, Zimbabwe, Sudan and Lebanon illustrates why cooperation among borrowers may be useful. Their debt structures and economic circumstances differ, but they can potentially learn from one another’s approaches to transparency, restructuring, fiscal management and development financing.

The broader lesson is that a debt crisis rarely has a single cause. Sustainable solutions usually require a combination of responsible borrowing, sound public financial management, economic growth, credible data and appropriate cooperation between borrowers and creditors.

Inclusion of Developed Nations in the Borrowers’ Platform

A key question is whether advanced economies such as the United States, Germany, Japan, France and the United Kingdom could join the Borrowers’ Platform.

Under the platform’s current design, it is intended for eligible borrowing developing countries. UNCTAD states that the initiative is open to borrower countries across different stages of development and levels of indebtedness, with membership based on eligibility and invitation arrangements.

It is therefore not a general forum for every country with public debt. Developed economies are not automatically eligible simply because they issue government bonds or have large public-debt balances.

This distinction matters because sovereign debt is a global issue. Advanced economies also face debt sustainability questions, but their financial markets, currencies, institutional capacity and access to financing often differ considerably from those of developing countries.

The platform’s purpose is to address the specific challenges faced by borrowing developing countries. Broader cooperation with advanced economies can still take place through existing international institutions and financial forums.

How the Borrowers’ Platform Emerged: A Timeline

The platform developed through a series of international policy initiatives rather than appearing as a fully established institution overnight.

December 2024 — Expert Group on Debt Established

The United Nations Secretary-General appointed an Expert Group on Debt to develop actionable recommendations for addressing debt challenges and improving the international financial architecture.

June 2025 — Recommendation for a Borrowers’ Platform

The Expert Group’s report, Confronting the Debt Crisis: 11 Actions to Unlock Sustainable Financing, proposed a dedicated platform through which borrowing countries could share knowledge and strengthen cooperation.

July 2025 — Sevilla Commitment

At the Fourth International Conference on Financing for Development, United Nations Member States adopted the Sevilla Commitment. It supported establishing a borrower-led platform to promote technical discussions, information-sharing, capacity-building and a stronger collective voice.

October 2025 — Working Group Established

A ministerial roundtable on the margins of the IMF–World Bank Annual Meetings established a working group to guide the development of the initiative.

November 2025 — Drafting the Platform’s Framework

The working group began developing the platform’s objectives, participation arrangements, governance structure and working methods.

The initial group included Egypt, Pakistan, Colombia, Honduras, Maldives, Nepal and Zambia. Egypt led the interim phase, with Pakistan serving as vice-chair.

15 April 2026 — Official Launch

The Borrowers’ Platform was launched in Washington, D.C., during the IMF–World Bank Spring Meetings. UN Secretary-General António Guterres attended the launch, and UNCTAD became the platform’s secretariat.

October 2026 — First Annual Cycle

The platform entered its first annual cycle in Bangkok, Thailand, alongside the IMF–World Bank Annual Meetings. Its first Governing Council meeting took place on 12 October 2026, marking an important transition from the interim phase to its formal governance arrangements.

At this meeting, Pakistan assumed the chairmanship of the Governing Council for the 2026–27 term.

Pakistan’s Role in the Borrowers’ Platform

Pakistan has played a significant role in the development of the Borrowers’ Platform from its early stages.

It was a member of the initial seven-country working group that helped develop the initiative’s framework. During the interim phase, Pakistan served as vice-chair while Egypt led the working group.

On 12 October 2026, Pakistan assumed the chairmanship of the platform’s Governing Council for the 2026–27 term. Federal Minister for Finance and Revenue Muhammad Aurangzeb accepted the chairmanship on Pakistan’s behalf in Bangkok, Thailand.

This is an important leadership development for Pakistan’s participation in international economic discussions. The role gives it responsibility for helping guide the platform’s initial work programme, encourage practical cooperation and support the implementation of agreed priorities.

Pakistan’s stated priorities include strengthening debt-management practices, sharing reform experiences and exploring innovative development-financing instruments.

However, chairmanship does not give Pakistan unilateral authority over the platform or over international creditors. The initiative remains member-state-led, and its effectiveness will depend on cooperation among participating countries and the quality of its work.

Pakistan’s leadership will therefore be measured not only by diplomatic visibility but also by whether the platform produces practical benefits, such as stronger debt-management capacity, better information-sharing and more effective technical cooperation.

Egypt’s Role and Leadership

Egypt played a central role in bringing the Borrowers’ Platform from proposal to implementation.

It led the initial working group that developed the initiative’s purpose, governance arrangements and participation framework. The group also included Pakistan, Colombia, Honduras, Maldives, Nepal and Zambia.

Egypt’s leadership helped advance the platform during its interim phase, including consultations on membership, preparations for the first annual work programme and the development of technical cooperation activities.

Egypt’s role is significant because the platform requires sustained political support as well as technical work. Countries must agree on how they will cooperate, how decisions will be made and how the initiative will deliver practical results without duplicating the responsibilities of existing institutions.

With Pakistan taking over the Governing Council chairmanship for 2026–27, Egypt’s contribution to the interim phase remains an important part of the platform’s institutional history.

The transition also illustrates the importance of shared ownership: the initiative is intended to be a cooperative forum rather than an institution controlled permanently by one country.

The Role of UNCTAD

UN Trade and Development (UNCTAD) serves as the secretariat of the Borrowers’ Platform.

Its role is particularly important because it brings together research, technical expertise and practical experience in development finance and sovereign debt management.

UNCTAD’s responsibilities include supporting the platform’s institutional operations, facilitating technical discussions, helping members exchange knowledge and providing analytical resources.

It also operates the Debt Management and Financial Analysis System (DMFAS), a programme that supports public debt recording, reporting and management. UNCTAD reports that DMFAS is used in 60 countries.

This experience gives UNCTAD a practical foundation for supporting the platform’s focus on debt-management capacity and transparency.

Nevertheless, UNCTAD does not independently control the platform’s political direction. The initiative is member-state-led, with participating countries responsible for shaping its priorities and governance through the agreed arrangements.

How the Borrowers’ Platform Works

The platform’s governance arrangements are designed to combine political direction with technical and operational work.

1. Governing Council

The Governing Council is the political and decision-making body. It provides strategic direction and is composed of finance ministers, central bank governors or equivalent ministerial-level representatives from participating countries.

2. Steering Committee

The Steering Committee is responsible for technical and operational work. It supports the implementation of the platform’s priorities and activities.

3. UNCTAD Secretariat

UNCTAD provides technical and administrative support, helping organise meetings, facilitate exchanges and develop knowledge resources.

4. Annual Work Programme

The platform’s work is organised around agreed priorities. The first annual cycle is intended to establish its institutional foundations and turn the initiative’s broad objectives into practical activities.

5. Peer Learning and Technical Cooperation

Members can exchange experiences on debt management, public financial reporting, financing instruments and other technical issues. This can help governments learn from one another rather than having to develop every solution independently.

The platform’s value will depend on the quality of participation, the usefulness of its technical work and the extent to which countries apply what they learn to their own debt-management systems.

What the Borrowers’ Platform Can Do

The platform’s potential contribution lies in improving how borrowing countries prepare for, understand and manage debt challenges.

Peer Learning

Countries can share practical lessons from debt crises, restructuring processes, successful reforms and improvements in public financial management.

Debt-Management Capacity

Governments can strengthen their ability to record liabilities, forecast repayments, assess risks and develop more effective debt strategies.

Technical Assistance

The platform can help participating countries identify areas where they need technical support and connect them with relevant expertise and resources.

Knowledge Sharing

A shared knowledge base can help governments access examples, data, case studies and approaches developed by other countries.

Better Debt Transparency

More accurate and comprehensive information about public debt can help governments understand their obligations and improve the credibility of their financial reporting.

Stronger Participation in International Discussions

By building knowledge and sharing experiences, borrowing countries can become better prepared to contribute to international discussions about debt sustainability and development finance.

Better Development Planning

Improved debt management can help governments make more informed decisions about borrowing, public investment and fiscal priorities.

UNCTAD describes the platform as a way to strengthen borrowers’ capacity and collective voice while complementing existing debt mechanisms.

What the Borrowers’ Platform Cannot Do

It is important not to misunderstand the platform’s mandate.

UNCTAD explicitly states that the Borrowers’ Platform is not:

A crisis-coordination mechanism.
A forum for collective debt-restructuring negotiations.
A standard-setting or collective-bargaining entity.

This means that the platform does not automatically negotiate repayment reductions on behalf of its members, compel creditors to accept new terms or replace established debt-resolution processes.

A country facing an immediate debt crisis must still work through the relevant domestic and international arrangements, including negotiations with creditors and engagement with financial institutions where appropriate.

The platform can help countries improve their knowledge and preparation, but it does not guarantee debt relief.

Its long-term value will depend on whether cooperation translates into better national decisions and more informed participation in the international financial system.

Borrowers’ Platform vs the IMF, World Bank and Paris Club

The Borrowers’ Platform is different from existing international financial institutions and creditor coordination mechanisms.

Institution or mechanism	Main role	Difference from the Borrowers’ Platform
Borrowers’ Platform	Peer learning, technical cooperation and a stronger borrower voice	A member-led forum for borrowing developing countries
International Monetary Fund (IMF)	Financial assistance, economic surveillance and policy advice	Provides lending and other financial support under its programmes
World Bank	Development financing, expertise and poverty-reduction support	Provides financing and development assistance
Paris Club	Coordination among official bilateral creditors in certain debt treatments	A creditor forum, rather than a borrower-led cooperation platform
G20 Common Framework	A framework for coordinating debt treatments for eligible countries	Supports specific debt-treatment processes involving participating creditors

The distinction is especially important because the platform is not designed to replace the IMF, World Bank, Paris Club or G20 Common Framework.

Instead, it aims to address a different need: providing borrowing countries with a dedicated place to exchange experiences and strengthen their capacity before, during and after debt-related challenges.

The IMF and World Bank also support wider discussions on sovereign debt, including through the Global Sovereign Debt Roundtable. The existence of these forums demonstrates that debt governance already involves several overlapping mechanisms, each with a different mandate.

The Borrowers’ Platform adds a borrower-focused dimension to this wider landscape.

The Borrowers’ Platform and the Global South

The Global South includes a diverse range of developing and emerging economies, from large economies with extensive financial markets to small states exposed to climate shocks, commodity-price volatility and limited access to affordable financing.

These countries do not share identical debt problems. Some borrow heavily in international capital markets, while others depend more on bilateral loans, multilateral financing or domestic borrowing.

Small island states may face high vulnerability to natural disasters. Commodity exporters can experience sharp revenue changes when global prices fluctuate. Other countries may face high refinancing costs, currency pressures or limited institutional capacity.

The Borrowers’ Platform provides a potential space for countries to compare these experiences and identify approaches that may be adapted to their own circumstances.

It could also help smaller countries participate more effectively in international debt discussions by giving them access to shared knowledge and technical expertise.

However, the Global South should not be treated as a single economic bloc with identical interests. Differences in income levels, creditors, economic structures and geopolitical relationships can affect how countries approach debt policy.

For the platform to work effectively, it will need to accommodate these differences while identifying practical areas of common interest.

Can the Borrowers’ Platform Change the Global Financial Architecture?

The international financial architecture includes the institutions, rules and processes through which countries access financing, manage financial risks and address debt problems.

Reforming this system is a complex undertaking. It involves institutions with established mandates, creditors with different interests and governments facing different economic circumstances.

The Borrowers’ Platform could contribute to reform in several ways.

First, it could improve the quality of debt-related discussions by helping countries share information and build technical capacity.

Second, it could make borrower experiences more visible in international policy debates.

Third, it could support greater transparency and more consistent debt-management practices.

Fourth, it could help countries identify shared concerns and propose practical improvements through existing international forums.

But these outcomes are not automatic. The platform does not have binding authority over creditors, and it cannot independently redesign the international financial system.

Its influence will depend on the quality of its research, the commitment of its members and the extent to which its recommendations are considered by governments and international institutions.

The most realistic expectation is that the platform could become a useful part of a broader reform process—not a replacement for the institutions that already shape global finance.

Challenges Facing the Borrowers’ Platform

Despite its potential, the platform faces several challenges.

Different Debt Situations

Countries differ in their debt levels, creditor relationships, currency exposure and economic priorities. Reaching common ground will require careful attention to these differences.

Coordination Difficulties

A geographically diverse membership can make regular consultation and the development of shared priorities difficult.

Voluntary Participation

The platform depends on countries choosing to participate and contribute. Sustaining engagement will be essential to its long-term effectiveness.

Limited Negotiating Authority

Because the platform is not a collective-bargaining body, it cannot compel creditors to change loan conditions or agree to debt restructuring.

Relationship With Existing Institutions

The platform must complement existing mechanisms and avoid duplicating work already undertaken by the IMF, World Bank, UNCTAD and other organisations.

Translating Discussion Into Results

Information-sharing is useful, but its value ultimately depends on whether governments apply lessons to improve debt management, transparency and fiscal planning.

Maintaining Trust

Participating countries may differ in their economic policies and international relationships. The platform will need to maintain a cooperative environment where members can exchange experiences constructively.

These challenges do not make the initiative unnecessary. They show why its success should be measured by practical outcomes rather than political announcements alone.

The Future of the Borrowers’ Platform

The platform’s first annual cycle is a crucial stage in its development.

Its immediate priorities include establishing its governance arrangements, developing an agreed work programme, expanding participation and building a useful foundation for technical cooperation.

Over time, several outcomes could help determine whether the initiative becomes a meaningful part of global debt governance.

First, practical technical support: Members need resources and expertise that help them improve debt recording, risk assessment and public financial management.

Second, reliable information: Shared data and case studies could help governments identify emerging risks and learn from previous debt challenges.

Third, sustained participation: Regular engagement from finance ministries and relevant technical officials will be essential to maintain momentum.

Fourth, measurable outcomes: The platform should demonstrate improvements in members’ capacity, transparency and preparedness rather than relying only on statements of intent.

Fifth, constructive engagement with existing institutions: The initiative’s influence will depend partly on how effectively members use their knowledge and collective experience in wider international discussions.

If these conditions are met, the platform could become a valuable resource for borrowing developing countries. If participation remains limited or technical work fails to produce practical results, its influence may remain modest.

The coming years will therefore be important in determining whether the initiative develops into a durable institution for borrower cooperation.