Debt obligations are legally binding agreements in which one party borrows money from another and agrees to repay it with interest over a specified period. They are essential for financing operations and investments but can pose risks if not managed properly, impacting creditworthiness and financial stability.

Debt Obligations

Debt obligations

legally binding agreements

Borrowing money means getting money from someone else when you don't have enough, but you have to give it back later. It's like when you borrow a toy from a friend; you need to return it after you play with it.

Borrowing Money

Repaying with interest

specified period

financing operations

Financing investments

Risks of debt management

Impact on creditworthiness

Impact on financial stability

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