Can someone explain this one (Kebir Blue)

my country was doing fine when it was in heavy debt (about 8T to exact),i hated seeing all the loans at 30% so figured i would erase them (paid GC for about 5T) an cut my budget an dismantled my military,knocked down excess schools an hospitals,when all was done i was about 1.4T ahead..then i noticed i was still spending hundreds of billions on loan intrest on loans i no longer had,to make things worse my country went back into debt an is still diving even though i haven't changed a thing since i was paid off,and the vultures are piling on the loans again (back to 1.5T or so again),my country says im making profit why is it taking loans ?

What is the name of your country? So someone can take a look?

The Kingdom of Medea (Kebir Blue)

Probably the automated school, hospital, and road building functions are turned on. I think that's the default for new accounts. It will build those until your education, health, and transportation indexes are 120. So, you made it worse by destroying schools and hospitals... never destroy those to save money. The monthly cost of schools and hospitals is small and the negative effects will show up in your worker propulation.

Also, it is likely that your country is ordering stuff at "any quality" meaning that you are overpaying. Go to settings->configure automatic systems and click next to Set Quality and put 100 in the box to the right. You can also turn off the automation at the top of this page if you want to. Finally, go down to the bottom and click "Save Automation Parameters"

I believe the main problem is that you have way too many corporations. Last year your corporations made a total loss of 526.76B. I suggest that you close corporations until you have 100% hiring in all of them (including privately held corporations). After this you should have something like 20 (most likely profitable) corporations left. If you still have any gold coins left you could also buy some extra population to reduce the number of corporations to close.

Since I'm just a newb you should wait for some one to confirm this before taking such drastic actions.

OMG I didn't even look at that~
96 corporations for 13 mil pop.
Your 13 million pop can't even begin to support all of those. Vidrig's right: you should go and close like 70-75 corporations. You can only do 3 per game month so it'll take a while.

In fact, if you're new, maybe you should just drop that country and start again :P

I 2nd Kitsunes suggestion. Its wise after messing the first nation so say "so long voters, im going somewhere" (i did that back in old days when i first played SC). Learn the lessons and makes the next nation work better ^^

I really recommend:

http://www.freewebs.com/churchofsimcountry/index.htm

Its a good guide to setting up the first nation in a good way.

Good luck!