World Debt-GDP Ratio Plummets But Remains Above Pre-Covid Level
- Even as 2021 debt fell versus GDP, it is still second-highest
- At $235 trillion, total debt in dollar terms hits record high
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Debt as a share of gross domestic product plunged by the most in seven decades in 2021, but policymakers still face challenges because borrowing remains above pre-Covid-19 levels, the International Monetary Fund said.
While total public and private debt hit a record $235 trillion last year, it plummeted when expressed as a percentage of economic output, which rebounded last year after the steep Covid-19 recession of 2020, the fund said Monday in a blog accompanying the latest update of its Global Debt Database.