Entries for 'Debt Sustainability'

Total frontier market (FM) debt surged by over $160 billion in 2024, reaching nearly $3.8 trillion—the fastest accumulation since 2021. Government borrowing led the increase, with Pakistan, Kenya and Romania seeing the largest buildup.

Total debt in frontier markets increased by over $45 billion in H1 2024, reaching a new record high of $3.7 trillion. At 102% of GDP, total debt in frontier markets stands more than 7 percentage points above pre-COVID levels.

The global debt stockpile rose by over $2 trillion in H1 2024, driven by China and the U.S. The EM debt-to-GDP ratio has now reached a record 245%—over 25 percentage points higher than pre-pandemic levels.

Global debt rose by some $1.3 trillion to a new record high of $315 trillion in Q1 2024. Moreover, after three consecutive quarters of decline, the global debt-to-GDP resumed its upward trajectory in Q1 2024.

In 2023, frontier market (FM) accumulated some $20 billion of new debt, bringing the total to $3.5 trillion. For the first time since 2020, the FM debt-to-GDP ratio increased, as growth and inflation subsided.

Over $15 trillion was added to the global debt mountain last year, bringing the total to a new record high of $313 trillion. The global debt-to-GDP ratio declined for a third consecutive year, largely driven by mature markets.

Global debt reached a staggering $307 trillion in Q3 2023, with a big increase across the board in both mature markets (U.S., Japan, France, and the UK) and emerging markets (China, India, Brazil, and Mexico).

After reaching an all-time high of $3.5 trillion in Q1 2023, total debt in frontier markets (FM) saw a slight decline in Q2 2023.

Sovereign debt vulnerabilities in emerging markets and developing economies—already worrying—are expected to intensify in the face of higher borrowing costs.

In a higher-rate environment, the global debt stock rose by $10 trillion to a new record high of $307 trillion in H1 2023. 

The global debt stock grew by $8.3 trillion to a near-record $305 trillion in Q1 2023; the combination of high debt levels and rising interest rates has pushed up debt service costs, prompting concerns about the use of leverage in the financial system.

Some $120 billion was added to the debt pile of frontier markets in 2022, bringing it to an all-time high of $3.6 trillion.

The nominal USD value of global debt declined by some $4 trillion to slightly below $300 trillion in 2022. Helped by stronger growth and inflation, global debt/GDP fell again in 2022 – but is still above pre-pandemic levels.