US, China Top Indebted Countries' List as Global Debt Nears $102trn
- The US remains the world’s most indebted country, with a gross debt of $35.293 billion and holding 34.6% of global debt
- Reports say global public debt is expected to rise to $102 trillion in the next 10 years, adding $5 trillion to the current figure
- Experts say the ageing population and public spending on healthcare and infrastructure cause the rise in global public debt
Legit.ng’s Pascal Oparada has reported on tech, energy, stocks, investment and the economy for over a decade.
Global public debt is expected to hit $102 trillion by 2023, a $5 trillion increase from the previous figure.
The report is according to the International Monetary Fund (IMF) report in its 2024 World Economic Outlook report.
Source: Getty Images
US, China, Japan remain world’s most indebted
The increase is due to ageing populations, growing healthcare costs, and geopolitical tensions, which are projected to increase spending.
According to reports, the US and China remain the highest contributors to global debt.
The US reportedly accounts for 34.6% of the total government, with its fiscal pressures worsened by rising interest payments.
BusinessDay reports that in 2024, net interest payments on US debt hit $892 billion, with projections suggesting that the costs could rise to $1.7 trillion annually in the next decade.
10 most indebted countries
United States
The US commands a gross debt of $35.293 billion, accounting for 34% of the total global debt and a debt-to-debt GDP ratio of 121%.
The US remains the most significant contributor to global debt, caused by rising net interest costs, which hit $892 billion in 2024.
China
The Asian giant has $16.464 billion in gross debt and a debt-to-GDP ratio of 90.1%. Investments in infrastructure and development contribute to China’s debt levels.
Japan
Japan has a gross debt of $10.224 billion and a debt-to-GDP ratio of 251.2%. Its debt burden is due to domestic debts caused by an ageing population and rising social welfare costs.
United Kingdom
The country carries a gross debt of $3.521 billion and a debt-to-GDP ratio of 101.8%. The UK’s debt levels show pressures from public service spending and economic challenges.
France
France has a gross debt of $3.564 billion and a debt-to-GDP ratio of 112.3%, caused by healthcare, pensions, and public sector spending.
Italy
The country holds 3.2% of the global debt at $3.253 gross debt and a debt-to-GDP ratio of 136%. Italy faces long-term challenges caused by public spending and economic stagnation.
India
The Asian country has $3,231 billion in gross debt and a debt-to-GDP ratio of 83.1%. Its debt is caused by its large population and investments in infrastructure, healthcare, and education.
Germany
The country commands 2,9% of the global debt burden at $2.953 billion and a debt-to-GDP ratio of 62.7%. It maintains a low debt-to-GDP ratio despite high debt levels.
Canada
Canada has $2.349 billion in gross debt and a debt-to-GDP ratio of 106.1%.
Brazil
At $1,917.1 billion in gross debt (1.9% of the world total) and a debt-to-GDP ratio of 87.6%, Brazil’s rising debt levels are driven by public spending and ongoing economic challenges.
World Bank releases $1.5 billion to Nigeria
Legit.ng earlier reported that the World Bank has rapidly disbursed Nigeria a $1.5 billion loan after meeting specific conditions.
This is part of the Reforms for Economic Stabilisation to Enable Transformation Development Policy Financing scheme and also one of the fastest disbursements Nigeria has received, with both tranches coming in less than six weeks.
A World Bank document shows that the loan was approved on June 13, 2024, and the first payment was made on July 2, 2024.
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Source: Legit.ng
