Money owed by one person or organization to another. A debt contract states the terms of borrowing: what interest and redemption payments the borrower must make, and what collateral must be provided. Debt contracts stipulate the currency in which payment is due; foreign currency debt is debt where the interest and redemption payments due are in some currency other than the debtor’s own. Debt may have interest or redemption payments linked to a price index. See also bad debt; deadweight debt; government debt; national debt; non-marketable debt; non-performing debt; sovereign debt.