Overview

• Global government borrowing is projected to reach 93% of global GDP by the end of 2024, potentially hitting 100% by 2030.
• The IMF report warns of increased risk of financial crises due to mounting public debt and political resistance to tax hikes.
• Both U.S. presidential candidates propose fiscal policies that could significantly increase national debt, with Trump's plans potentially adding more.
• The IMF suggests that fiscal consolidation is necessary, but current efforts are insufficient to stabilize or reduce debts.
• Global debt could escalate to 115% of GDP by 2026 under adverse scenarios involving weak growth and policy uncertainties.