In 2023, developing countries faced record foreign debt obligations of $1.4 trillion, exacerbated by the pandemic and rising interest rates. IDA countries paid $96.2 billion in debt servicing, with interest costs at an all-time high. Multilateral institutions like the World Bank provided crucial support, dispersing more funds than they collected in debt payments. The report highlights the risk of default and calls for better protections for sovereign borrowers amidst growing inequality and economic challenges.