World Bank Warns Poor Nations Risk 'Lost Decade' With Record Debt Burden
- Debt payments surged to a record $443 billion in 2022
- Payments divert resources from health, education, environment
Street vendors wait for customers in Colombo, Sri Lanka.
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Developing nations spent a record $443 billion in debt service payments in 2022, according to the World Bank, which warned the situation risks tipping more countries into crisis and setting off a “lost decade” of economic stagnation.
The payments, which include principal and interest, rose by more than 5% from the previous year, the Washington-based lender said Wednesday in its latest International Debt Report.