Global Debt Reaches $315 Trillion

(Patria) - Global public debt will exceed $100 trillion by the end of the year, warns the International Monetary Fund (IMF).

Total borrowing, including private debt, has reached $315 trillion, almost three times the gross domestic product of all countries, writes Radio Free Europe.

Most of these funds are going towards consumption rather than investment. However, instead of reducing debt, governments are increasing it due to rising defense costs, the green transition, and an aging population.

Economists are calling for the establishment of a long-term balance between earnings and spending.

The accumulation of debt threatens the global economy, and breaking this cycle is one of the most urgent challenges of the 21st century.