International Journal of Scientific Research and Engineering Development

Public debt plays an important role in financing economic development, infrastructure projects, and public services in developing countries. Governments often rely on borrowing to support growth, reduce poverty, and meet development goals. However, when public debt reaches excessive levels, it can create serious economic challenges that affect long-term growth and financial stability. This research paper examines the economic consequences of high public debt in developing countries. It analyzes how rising debt levels influence economic growth, government spending, inflation, investment, employment, and fiscal sustainability. The study also explores the factors contributing to debt accumulation and the challenges faced by developing economies in managing debt obligations. The findings suggest that while public borrowing can support development, excessive debt creates financial pressure through higher interest payments, reduced public investment, and increased economic vulnerability. Effective debt management, fiscal discipline, and sustainable economic policies are essential for maintaining long-term economic stability. Recent reports from the International Monetary Fund and World Bank indicate that many developing countries face rising debt-service burdens that reduce spending on development priorities.

Mr.Sahil Batra, Ms.Madhavi Chinchwade,"Economic Consequences of High Public Debt in Developing Countries" International Journal of Scientific Research and Engineering Development, V9(3): Page(1407-1413) May-June 2026. ISSN: 2581-7175. www.ijsred.com. Published by Scientific and Academic Research Publishing.