Global debt on the rise, emerging markets cross $100 trillion mark, trade group says
Reuters
23-05-17 15:11
Global debt has risen to nearly $305tn in the first quarter of 2021, according to the Institute of International Finance (IIF). The IIF is concerned about the rising cost to service this debt and what it could mean for the financial system's leverage. Aging populations and increasing healthcare costs are creating pressure on governments, with rising national defence spending also expected. The IIF is also anxious that liquidity problems for smaller banks could restrict their lending to households and businesses, while the report also discussed the "large portion" of corporate debt held by life insurance companies and rising shadow banking.