Assalamu alaikum - Which countries owe the IMF the most in 2025?
Assalamu alaikum - a quick look at who owes the IMF the most this year.
By Hanna Duggal
At least 86 countries together owe the International Monetary Fund roughly $162bn, or SDR 118.9 billion. Many of these debts affect ordinary families and economies in Muslim-majority countries too, so it’s worth understanding how this works.
This week central bankers and finance officials met in Washington, DC for the annual IMF and World Bank meetings. Conversations have been focused on global economic headwinds, including the knock-on effects of trade tensions and rising protectionism.
The IMF is often called a “lender of last resort” - it steps in when countries face serious financial trouble and can’t borrow normally. But its loans usually come with strict conditions, which can mean austerity measures that hurt people’s livelihoods. That’s why IMF help can feel like a double-edged sword for communities trying to get back on their feet.
A bit of background: the IMF was set up in 1944 at Bretton Woods to stabilise the post-war global economy. It’s based in Washington now, and membership has grown from 44 founding states to 191 today. The IMF offers policy advice, short-term financial help and capacity building to countries and institutions.
Membership requires approval and a quota payment tied to the size of a country’s economy. Richer countries pay more, which also gives them more borrowing room and voting power. The IMF’s total lending capacity is about $1 trillion, and when it lends it uses pooled resources from its members - wealthier economies often act as the creditors.
The IMF measures much of its lending in Special Drawing Rights (SDRs), a unit based on five currencies (USD, euro, pound, renminbi and yen). SDRs aren’t a currency but can be exchanged for those currencies. As of October 15, one SDR was worth about $1.36.
In total, 86 countries currently owe the IMF SDR 118.9bn (roughly $162bn). Three countries account for nearly half of that total, and the top 10 owe about 73% of the whole amount.
The biggest borrowers right now are:
- Argentina: SDR 41.8bn (about $57bn)
- Ukraine: SDR 10.4bn (about $14bn)
- Egypt: SDR 6.9bn (about $9bn)
Argentina is the IMF’s largest borrower - its debt is greater than the combined total of the next seven countries on the list (Ukraine, Egypt, Pakistan, Ecuador, Ivory Coast, Kenya and Bangladesh). Argentina has a long history of repeated IMF programmes; in 2018 it took the largest loan in IMF history at $57bn, and in April the IMF approved another $20bn programme.
Ukraine’s economy was hit hard after Russia’s invasion in February 2022, and its external debt has more than doubled since before the war. By the end of April government-guaranteed debt was reported at $152bn, with more than 70% external. The IMF approved a four-year Extended Fund Facility in March 2023 worth $15.5bn as part of broader international support.
Egypt has turned to the IMF multiple times to stabilise its economy amid high debt, fiscal deficits and foreign currency shortages. The IMF approved large EFF programmes for Egypt in 2016 and has disbursed further funds after reviews of its reform programme; officials say inflation has fallen significantly after reforms tied to IMF support.
Even though IMF loans can be very large, they often form only a small share of a country’s total debt or GDP. Looking at IMF debt as a share of GDP, the top cases are Suriname (about 13%), Central African Republic (9.4%), Argentina (8.3%), Barbados (7.4%) and The Gambia (6.95%).
If you’re thinking about how this matters locally: IMF programs and the reforms they demand can affect public services, subsidies and jobs - things that touch everyday life in many Muslim communities. May Allah make things easier for those suffering economic hardship, and may policymakers act with justice and care.
If anyone wants, I can share a simpler breakdown by region or point out which Muslim-majority countries are on the list - insha'Allah that could help make sense of the local impact.
https://www.aljazeera.com/news