The internal debt of the United States remains at a historically high level. For 2025, the projection is that gross federal debt will reach approximately 124.3% of Gross Domestic Product (GDP). This figure reflects steady growth and raises important discussions about the country's long-term fiscal sustainability.
Comparison with Brazil (Projections for 2025)
To put things in perspective, Brazil's general government gross debt is projected to be around 77.5% of GDP by 2025.
* United States: The debt is significantly larger in proportional terms to the size of the economy. This means that a larger slice of the wealth generated by the country is needed to meet debt commitments.
* Brazil: Although the ratio is lower, Brazil faces its own challenges, such as the need to maintain market confidence and attract investments to manage and roll over its debt efficiently.
Domestic Debt: USA vs. Other OECD Countries (Projections for 2025)
The US debt stands out compared to most OECD countries (Organization for Economic Cooperation and Development). Here are some projections for 2025 (general government gross debt as a % of GDP):
* Japan: Continues to top the list with a projection of 237.3%. Its situation is unique due to demographic factors and long-term stimulus policies.
* France: The estimate is approximately 112.6%, a considerable level, but still below the USA.
* Canada: Projected at around 110.8%, also at a high level.
* United Kingdom: With a projection of approximately 97.5%, it ranks below the USA and some European countries.
* Germany: Maintains one of the lowest debts among major OECD economies, with a projection of around 62.8%, reflecting its strong fiscal discipline.
What Do These Projections Mean?
The percentage of debt relative to GDP is a crucial indicator of a country's fiscal health.
* For the USA and Japan: Managing such high debts requires constant attention, with risks of higher borrowing costs and potential impacts on global economic stability.
* For European countries and Canada: Although debt levels are significant, most are seeking strategies to control their growth and ensure fiscal sustainability.
* For Germany: Its low debt provides greater fiscal maneuverability to invest and respond to future challenges, without the same pressure on the public budget.
Keeping an eye on these numbers is essential to understanding global economic dynamics and the different fiscal approaches adopted by countries.