Global public debt is projected to surpass $100 trillion by the end of 2024, accounting for approximately 93% of the world's GDP. This significant increase is largely attributed to rising fiscal deficits in major economies, particularly the United States and China, as both countries face substantial spending requirements amid slower economic growth.
The International Monetary Fund (IMF) has issued a cautionary statement, indicating that if current trends continue, global debt levels could reach 100% of GDP by 2030. This scenario presents potential risks for both advanced and developing economies, raising concerns about fiscal sustainability and economic stability.
Efforts to address the escalating debt are hindered by political resistance to tax increases and the necessity for ongoing funding in critical areas such as healthcare, infrastructure, and social services. As nations navigate these challenges, the balance between fiscal responsibility and essential public spending remains a contentious issue among policymakers globally.