In 2024, global debt reached a staggering USD 250 trillion, equivalent to 237% of global GDP, according to the IMF’s 2024 Global Debt Monitor. Although this marks a slight decline from the previous year, the level remains significantly higher than the pre-pandemic ratio of 229% in 2019. The overall decline in global debt is mainly attributed to a drop in private debt, which fell by 2.8 percentage points to 143% of GDP, amounting to over USD 150 trillion. This includes household debt at 54% of GDP and non-financial corporate debt at 90% of GDP. Meanwhile, public debt rose by 2 percentage points to 94% of GDP, reaching USD 98 trillion, reflecting a return to its upward trajectory after the pandemic. The data highlights diverging debt trends across countries—with reductions in private debt seen in advanced economies and the US, while China and low-income developing countries experienced significant increases in both public and private debt levels.
Global Debt Overview (2024)
Total Global Debt (Public + Private): 📊 USD 250 trillion 📉 237% of global GDP (down from 238% in 2022/2023) ⚠️ Still 8 percentage points above pre-pandemic level (229% in 2019)
Private Debt
Total Private Debt: 💵 > USD 150 trillion 📉 143% of GDP (↓ 2.8 percentage points from 2022/2023) ✅ Now below 2019 level (pre-COVID)
Composition:
Households: 📉 54% of GDP
Non-financial corporates: 📉 90% of GDP
By Country:
🇺🇸 United States:
↓ 6 percentage points to 150% of GDP
Household ↓ 3.4%, Corporate ↓ 2.5%
🇨🇳 China:
↑ 6.5 percentage points to 205% of GDP
Corporate ↑ 5%, Household ↑ 2%
🌍 Emerging Markets (excl. China): Stable at 69% of GDP
🌐 Advanced Economies (excl. US):
↓ 6% to 168% of GDP
Public Debt
Total Public Debt: 💰 USD 98 trillion 📈 Increased by 2 percentage points to 94% of GDP ↪️ Returned to pre-pandemic rising trend
By Country:
🇺🇸 US: ↑ to 123% of GDP
🇨🇳 China: ↑ to 84% of GDP
🌍 EMDEs (excluding China): ↑ to 57% of GDP
🌐 Advanced Economies (excl. US): ↓ to 103% of GDP
🌍 Low-Income Developing Countries (LIDCs):
↑ to 50% of GDP (new high)
Private debt ↓ to 38%, but still 4% higher than in 2019
What Drove the Decline in Private Debt?
Lower Future Growth Expectations ➤ Global 5-year growth forecast fell from 2.7% (2022) to 2.2% (2023/2024)
Inflation Surprises ➤ Helped reduce real debt ratios:
Emerging Markets: Surprise inflation fell from 6% → 2.3%
Advanced Economies: Fell from 5.5% → 1.5%
Eased Economic Uncertainty (except in the US due to elections)
📌 Notable Highlights
China has the highest debt-to-GDP ratio globally: 289% of GDP
The US and Advanced Economies led the global debt decline
Global debt ratio declined by 20 percentage points since 2020, correcting about two-thirds of the pandemic surge
what the global debt data is telling us:
1. The World Is Still Heavily in Debt
Total global debt is USD 250 trillion, equal to 237% of global GDP.
Although this is slightly lower than in 2022, it’s still much higher than before the COVID-19 pandemic (229% in 2019).
This means countries, companies, and households still carry a very heavy debt burden.
2. Private Sector Is Cleaning Up
The decline in global debt is mainly due to a drop in private debt (households and companies).
People and firms are borrowing less or paying back loans, especially in the US and Europe.
In the US, private debt fell a lot — households and companies reduced borrowing.
But in China, private debt surged. Companies are borrowing more, despite weak economic signals.
3. Governments Are Borrowing More Again
After stabilizing, public debt rose again in 2023/2024.
It’s now at 94% of global GDP, close to COVID levels.
Countries like China and many low-income nations increased public borrowing, which raises concerns about debt sustainability.
4. Why Is Private Debt Falling?
Low future growth expectations — people and businesses don’t see big growth coming, so they avoid debt.
Inflation — when prices rise, the value of old debt falls.
Less uncertainty — the global economy is more stable than during COVID, so people aren’t borrowing as a precaution.
5. Warnings & Opportunities
Although private debt is falling, public debt is rising, shifting the risk to governments.
Some countries, like LIDCs, are hitting dangerously high debt levels again.
Policymakers may need to focus more on public debt management going forward.
In short:
✅ Households and companies are being cautious ⚠️ Governments are borrowing more again 📉 Global debt is slowly improving, but risks remain
