A Global Default Spiral is on its way, with Emerging Markets in its path

Developing countries are experiencing commercial difficulties have more than doubled, with El Salvador, Ghana, Egypt, Tunisia, and Pakistan at the center.

Sri Lanka was the first government this year to cease paying its foreign bondholders due to high food and gasoline prices, which fueled demonstrations and political upheaval.

Russia followed suit in June, after being enmeshed in a web of sanctions. El Salvador, Ghana, Egypt, Tunisia, and Pakistan, according to economists, are at risk of default.

The cost of developing debt has climbed to its greatest level since Russia's invasion of Ukraine, alarmed World Bank Chief Economists.

And, as previous crises have demonstrated, the financial collapse of one country may set off a chain reaction in which fearful traders withdraw money from countries with comparable economic issues.