Throughout 2020, the Covid-19 pandemic caused massive human and economic casualties. The pandemic has been a major blow for developing countries, especially low-income countries, from many perspectives. These countries experienced a sudden dry-up of external financing in March 2020, against the backdrop of a rapid pile-up of sovereign debt during the last few years, coupled with a surging need for finance to combat the public health crisis. In this context, the international community tried to mobilise financial resources as quickly as possible to ease liquidity constraints facing these countries. Alongside exceptionally quick financial assistance from the International Monetary Fund (IMF) and Multilateral Development Banks (MDBs), the G20 countries agreed on a temporary debt moratorium in April 2020, the so-called G20 Debt Service Suspension Initiative (DSSI). This initiative has allowed eligible countries to delay debt-service-related payments owed to bilateral official creditors. Since its inception, it has been extended twice and it should now expire in December 2021.