According to the OECD’s Global Debt Report, released today, outstanding government and corporate bonds exceeded $100 trillion in 2024.
Total bond issuance by global governments in 2024 reached $16 trillion, up from $13 trillion in 2023.
The report stated, “This combination of higher costs and higher debt risks restricting capacity for future borrowing at a time when investment needs are greater than ever.”
Serdar Celik of the OECD stated that governments and companies should be encouraged to ensure their borrowing supports long-term growth and productivity. “If they do it this way, we are not worried… If they don’t do it this way, if it adds additional, expensive debt without increasing the productive capacity of the economy, then we will see more difficult times.”
The report indicated that borrowing costs had increased to over 6% in 2024.
It is observed that low-income, high-risk countries encounter the most significant financial risks. The OECD reports that rising geopolitical tensions and trade uncertainties may also result in heightened risks and swift changes.
By CEO NA Editorial Staff
