The volume of debt in the world worsened in the third quarter of this year. The total debt – of States, companies, the financial sector and individuals – on a global scale rose in September to an “impressive” 307.4 billion dollars (around 282 billion euros), according to the update made by the “Global Debt Monitor” published by the Institute of International Finance (IIF). The institute projects that total global debt will rise to 310 billion dollars at the end of the year, 12.1 billion more than at the end of last year.
That amount of debt represents 333.1% of the world’s Gross Domestic Product (GDP), a weight that, however, has been reduced since the peak of 365% at the end of the year of the covid-19 pandemic. Japan leads the group with the highest debt.
The previous historic maximum of 305 billion dollars (277 billion euros, at the exchange rate at the time), in the first quarter of 2022, marked by the start of the Russian invasion of Ukraine, was broken between July and September 2023.
The situation could worsen because of populism, highlights the IIF report.
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