Global public debt rises amid economic uncertainty

Global public debt has seen a significant increase since 2019, with the International Monetary Fund estimating a rise of more than 12%. This trend has been accelerated by public authorities increasing spending through debt following the COVID-19 pandemic.

Major economic blocs hold the vast majority of this debt. The United States accounts for 36% of the global total, China holds 17%, and the European Union holds 16%. Together, these three entities represent over 70% of global debt. While the U.S. public debt grew by more than 15 points during this period, the Eurozone saw an increase of nearly 4 points.

There are ongoing discussions regarding whether this borrowing is being used to drive productivity and investment or if it serves as a defensive measure to maintain high public spending without implementing wealth-generating measures.