WORLD'S TOTAL DEBT JUST HIT A RECORD $324T WITH U.S HAVING THE HIGHEST NATIONAL DEBT
🌍 Record Global Debt:
$324 Trillion Global debt reached a record $324T in Q1 2025 — a $7.5T jump. Debt-to-GDP now exceeds 325%, with emerging markets at 245%.
🇺🇸 U.S. National Debt: $36 Trillion+
•The U.S. federal debt now sits at approximately $36.4 trillion as of early March 2025, split between $29 trillion held by the public and $7.4 trillion intragovernmental
•The U.S. remains the country with the highest absolute debt, far exceeding China and Japan.
🇺🇸🇨🇳🇯🇵 Top 3 Global Government Debtors
🇺🇸United States:
leading at ~$36 T In National debt.
🇨🇳China:
Around $15 T government debt, ~77% of GDP
🇯🇵Japan: About ¥1,324 T (~$10.9 T), 235% of GDP
🔺 Fun fact: The top 3-USA, China, and Japan- account for over 50% of global government debt.
⚠️ Economic Risks:
Heavy borrowing increases interest costs. In the U.S, debt servicing now exceeds defense and Medicare spending. Rising rates and massive Treasury issuance could slow growth.
📉 Long-Term Risk:
U.S debt-to-GDP may rise from ~100% to 116% by 2034 and 172% by 2054.
Risks include private investment crowd-out, interest spikes, and tax pressure.
📑 Summary Table:
Global Debt:
$324 T (~325% of global GDP)
🇺🇸 U.S. National Debt:
$36 T ($29 T public + $7.4 T intraGov)
⚖️ U.S. Debt-to-GDP Ratio:
~120% (public only)
🏛️ Top 3 Government Debtors:
‣ USA : $36 T Total Debts
‣ China : $15 T ~77% GDP
‣ Japan : $11 T ~235% GDP
🌍Foreign Holders of U.S. Debt:
$9 T (~24% of total), Led by Japan, UK, and China
🔍 Investor/Citizen Takeaway:
• Watch fiscal policy, debt ceiling, and Treasury issuance
• Diversify across inflation hedges (TIPS, gold, global bonds)
• Rising taxes may affect personal spending power