Global Debt Crisis: Seville Forum to Unravel Financial Challenges for Emerging Economies

The Seville Forum on Debt was launched to address debt issues in emerging economies. Supported by the UN and Spain, it seeks solutions for soaring public debt, which diverts funds from crucial sectors like education and health. As many developing nations face growing challenges, urgent systemic solutions are needed.

A United Nations-supported forum, the Seville Forum on Debt, was unveiled on Wednesday, aiming to address the critical debt challenges faced by emerging economies. As global public debt reaches unprecedented levels, policymakers warn of the adverse effects on investments critical for growth.

Presented during the UNCTAD session in Geneva, the forum, led by Spain, intends to bring together key stakeholders such as creditors, borrowers, financial institutions, and academics. Their goal is to devise strategies for effective debt management and sustainability, as global public debt climbs to $102 trillion.

Spain's Economy Minister, Carlos Cuerpo, highlights the tough choices nations must make between paying debt and funding essential services. Meanwhile, UN Secretary-General Antonio Guterres emphasizes the need for fair and prompt debt solutions to prevent financial burdens from derailing developing countries' progress.

(With inputs from agencies.)