Latest news with #globaldebt
South China Morning Post
10-05-2025
- Business
- South China Morning Post
World will need to borrow its way out of Trump's tariff mess
While US President Donald Trump's tariff wars might be laughably simplistic in their aim of balancing world trade, there is nothing amusing about the impact they are likely to have on the global economy. Advertisement The world appears to have not fully taken this on board yet. There has been little apparent awareness, for example, in market movements of the looming systemic financial threats that could arise from growing debt. This is especially so in the United States, which is dependent on foreign capital inflows to finance its trade and current account deficits. The likely impact of Trump's tariffs and other trade measures is being shrugged off by some as being hypothetical at this stage. Meanwhile, the potential impact on finance and banking systems is even less regarded or understood. This applies not only to intangible – and admittedly not readily quantifiable – factors such as the effect on confidence, consumption and investment but also to the more measurable and potentially critical impact upon debt in an already over-indebted world . All these aspects could come together in an economic 'perfect storm'. The global debt mountain has been growing for years, rather like a volcano pushing upwards as molten lava accumulates beneath the Earth's surface, ready to erupt with lethal force. Trump's tariffs and trade wars could be the precipitating factor, as the latest Global Debt Monitor from the Institute of International Finance (IIF) reveals. Advertisement
Zawya
06-05-2025
- Business
- Zawya
Global debt hits record of over $324trln, says IIF
Global debt rose by around $7.5 trillion in the first three months of the year to hit a record high of over $324 trillion, data from a banking trade group showed on Tuesday. The Institute of International Finance (IIF) said China, France, and Germany were the largest contributors to the global debt increase, while debt levels declined in Canada, the UAE, and Turkey. "While the sharp depreciation of the U.S. dollar against major trading partners contributed to the increase in the USD value of debt, the Q1 rise was more than quadruple the average quarterly increase of $1.7 trillion observed since the end of 2022," the IIF said in its Global Debt Monitor. The global debt-to-output ratio continued to slowly crawl lower, standing just above 325%. However, in emerging markets the ratio hit a record high at 245%. Total debt in emerging markets rose by over $3.5 trillion in the first quarter to a record high of more than $106 trillion. China alone accounted for over $2 trillion of the rise according to the IIF. China's government debt to GDP is at 93% and expected to hit 100% before the end of the year. (Reporting by Rodrigo Campos, editing by Karin Strohecker)
Yahoo
06-05-2025
- Business
- Yahoo
Global debt hits record of over $324 trillion, says IIF
By Rodrigo Campos NEW YORK (Reuters) -Global debt rose by around $7.5 trillion in the first three months of the year to hit a record high of over $324 trillion, data from a banking trade group showed on Tuesday. The Institute of International Finance (IIF) said China, France, and Germany were the largest contributors to the global debt increase, while debt levels declined in Canada, the UAE, and Turkey. "While the sharp depreciation of the U.S. dollar against major trading partners contributed to the increase in the USD value of debt, the Q1 rise was more than quadruple the average quarterly increase of $1.7 trillion observed since the end of 2022," the IIF said in its Global Debt Monitor. The global debt-to-output ratio continued to slowly crawl lower, standing just above 325%. However, in emerging markets the ratio hit a record high at 245%. Total debt in emerging markets rose by over $3.5 trillion in the first quarter to a record high of more than $106 trillion. China alone accounted for over $2 trillion of the rise according to the IIF. China's government debt to GDP is at 93% and expected to hit 100% before the end of the year. (Reporting by Rodrigo Campos, editing by Karin Strohecker)
Reuters
06-05-2025
- Business
- Reuters
Global debt hits record of over $324 trillion, says IIF
U.S. dollar banknotes are seen in this illustration taken May 4, 2025. REUTERS/Dado Ruvic/Illustration Purchase Licensing Rights , opens new tab NEW YORK, May 6 (Reuters) - Global debt rose by around $7.5 trillion in the first three months of the year to hit a record high of over $324 trillion, data from a banking trade group showed on Tuesday. The Institute of International Finance (IIF) said China, France, and Germany were the largest contributors to the global debt increase, while debt levels declined in Canada, the UAE, and Turkey. The Reuters Tariff Watch newsletter is your daily guide to the latest global trade and tariff news. Sign up here. "While the sharp depreciation of the U.S. dollar against major trading partners contributed to the increase in the USD value of debt, the Q1 rise was more than quadruple the average quarterly increase of $1.7 trillion observed since the end of 2022," the IIF said in its Global Debt Monitor. Advertisement · Scroll to continue The global debt-to-output ratio continued to slowly crawl lower, standing just above 325%. However, in emerging markets the ratio hit a record high at 245%. Total debt in emerging markets rose by over $3.5 trillion in the first quarter to a record high of more than $106 trillion. China alone accounted for over $2 trillion of the rise according to the IIF. China's government debt to GDP is at 93% and expected to hit 100% before the end of the year. Reporting by Rodrigo Campos, editing by Karin Strohecker Our Standards: The Thomson Reuters Trust Principles. , opens new tab Share X Facebook Linkedin Email Link Purchase Licensing Rights
