Global Debt Soars to $346 Trillion in 2025
According to the Economic Desk of Webangah News Agency, the Institute of International Finance (IIF) reports that global debt has reached a staggering $346 trillion in the first nine months of the current year. This represents an increase of more than $26.4 trillion compared to the $327.5 trillion recorded during the same period last year.
The report indicates that the overall debt-to-GDP ratio has now climbed to 310 percent.
While the rise in debt remains largely concentrated in the United States and China, a significant portion of the overall increase stems from developed markets. The accumulation of debt in these markets has accelerated this year due to the accommodative policies of major central banks.
Total debt in advanced economies is estimated at $230.6 trillion in the third quarter of this year, while total debt in developing countries has reached $115.1 trillion.
Significant debt increases were observed in the United States, as well as in France, Germany, and the United Kingdom. Among developing countries, the largest increases in debt after China were recorded in Brazil, Russia, South Korea, Poland, and Mexico.
The growth in global debt has been primarily driven by the public sector, with the largest increases observed in China and the United States, followed by France, Italy, and Brazil.
Household debt increased to $64 trillion in the third quarter of this year, while debt owed to non-financial corporations reached $99.3 trillion. Public debt totaled $105.8 trillion, and debt owed to financial corporations, such as banks, amounted to $76.6 trillion.
