Core Insights - The gap between developing nations' debt servicing costs and new financing has reached a record high of $741 billion from 2022 to 2024, according to the World Bank [1] - Overall interest payments for developing countries have hit a new record of $415.4 billion in 2024, despite some relief from falling global interest rates [2] - Emerging nations are increasingly relying on domestic debt markets, with domestic debt growing faster than external debt in 50 countries [3] Debt Restructuring and Financing - Emerging markets restructured nearly $90 billion of external debt in 2024, marking a 14-year high, with notable restructurings in countries like Ghana, Zambia, and Sri Lanka [4] - Net flows of bilateral lending have collapsed by 76% to $4.5 billion, the lowest level since the 2008 financial crisis, pushing countries towards more expensive private financing [4] - While multilateral lending increased, with the World Bank lending a record $36 billion, 54% of low-income nations are now in debt distress or facing high debt risks [5]