Global Debt hits to unprecedented $164 trillion: IMF

WASHINGTON: The worldwide debt stands at a historic high with $164 trillion borrowing by public and private sectors of 190 countries IMF said in a report on Monday.

According to the report of International Monetary Fund (IMF), the high borrowing countries include the richer ones – China, United States and Japan – are the top most borrowers. “It is nonetheless striking that the top 2016 three borrowers in the world — the United States, China, and Japan) — account for more than half of the global debt, significantly greater than their share of global output,” the report adds.

Pakistan is also among the high borrowers, although IMF report did not particularly offered details about Pakistan. Information from other unofficial sources places external debt of the country at more than $88bn in the fourth quarter of 2017, from $85bn in the third quarter.

The debt of $164 trillion is equivalent to 225pc of global GDP. Compared to the previous highest record of 213pc in 2009, the global debt has now increased by 12pc.

The IMF, in April, in a warning said that global economy was more indebted now than before the global financial crisis (GFC) more than a decade ago.

IMF Report mentions that public debt swelled primarily due to advanced economies whereas increase in private debt was mainly driven by the emerging economies.

The database of borrowing comprises 190 countries which almost covers the entire world.