According to the Institute of International Finance, the total amount of debt in the world increased by $24 trillion last year and reached $281 trillion, or 355% of global GDP.
Total public debt rose to 105% of GDP in 2020. At the same time, in pre-crisis 2019, it was 88% of GDP. The national debt of developed countries increased by $10.7 trillion. The authorities of these countries were forced to increase the volume of borrowing to support the economy during the coronavirus pandemic.
According to the forecast of the Institute of International Finance, the global debt will continue to grow this year. It could increase by another $10 trillion.
Despite the fact that mass vaccination of the population has begun in many countries, the pace of its implementation varies. This means that some countries will need additional financial injections into the economy. In this regard, the debt burden will grow.
In 2020, only Switzerland managed to reduce the size of the national debt in relation to gross domestic product.