Global debt exceeds 235 of world GDP

Global debt exceeds 235% of world GDP, with high-interest rates causing mounting


distress.


Developing nations face severe risks, spending roughly 6.5% of export earnings


on debt servicing in 2023. Major economies face rising debt, with the US at 121%


of GDP and China’s private debt at 206% of GDP.



Key Debt and Risk Trends by Region/Country (2025/2026 Data)


Hong Kong: Holds the world's highest total debt burden at roughly 380% of GDP.


United States: General government debt rose to 121% of GDP. As of March 2025,


public debt is $29 trillion, with rising interest rates impacting corporate stock


price crash risks.


China: Private debt increased to 206% of GDP, while government debt rose to 88%.


Developing Economies: External debt hit a record $11.4 trillion, roughly 99% of


their export earnings in 2023. Two-thirds of developing countries are facing debt


repayment challenges.



Global Debt Service: Developing nations paid $487 billion to foreign lenders in


2023.



Credit Bubble/Crisis Indicators


Corporate Debt: High government debt levels increase corporate stock price crash


risk.


Developing Markets: Net resource outflows mean developing nations paid $25


billion more to creditors than they received in 2023.



Default Risk: Over 50% of 68 low-income nations face debt distress, doubling


since 2015.



Asset Bubbles: Concerns exist regarding high debt servicing costs (interest


payments reached $921 billion in 2024 for developing nations).