A newly formed borrowers' collective of developing countries elected Pakistan to chair it as the group faced what United Nations Secretary-General Antonio Guterres called 'a perfect storm', according to Bloomberg. The Borrowers' Platform held its first governing council meeting on Monday in Bangkok, bringing together finance ministers and central bank governors from more than 30 developing nations dealing with growing pressures including regional conflict fallout.

Finance Minister Muhammad Aurangzeb told reporters the platform was mainly established to help countries benefit from each others' experiences. 'It's about mutual learning, technical cooperation with each other,' he said. 'This is more about proactive engagement -- how we avoid the pitfalls.'

The gathering took place on the sidelines of the International Monetary Fund and World Bank annual meetings in Thailand's capital, where the world's growing debt pile is a key theme. While developed nations are what IMF Managing Director Kristalina Georgieva labelled the world's 'worst offenders', rising global yields hit other economies too.

Guterres, in a statement, pointed to wars, trade and climate pressures, a lack of adequate financing and high debt-service burdens. 'Developing countries face a perfect storm,' he said. 'The Borrowers Platform offers members an opportunity to navigate this.' The median developing country now spends about 9.5 per cent of revenue on interest payments alone, the UN Development Programme warned in a report published at the weekend -- the highest proportion since 2001.

Economic experts believe that taking the helm of this vital global platform at such a critical juncture will provide Islamabad with a unique strategic advantage to advocate for debt relief and sustainable financial restructuring frameworks. Furthermore, Pakistan's proactive stance within these international forums aims to foster stronger regional partnerships, ensuring that vulnerable economies can collectively withstand external macroeconomic shocks and global monetary policy tightening.