International Monetary Fund (IMF) stated in its latest Fiscal Monitor, global public debt is projected to rise above 100 percent of GDP by 2029. In such a scenario, public debt would be at its highest level since 1948. Moreover, the distribution of risks is tilted towards debt accumulating even faster. With a 5 percent risk, debt would reach 124 percent in 2029. The world public debt landscape is very diverse. Country wise debt conditions differ widely in their deficit and debt levels. Many major economies have public debt greater or projected to grow over 100 percent of GDP. Among the G 20, these are Canada, China, France, Italy, Japan, the UK, and the US. However, these countries typically have deep and liquid sovereign bond markets and often broad policy choices resulting in their fiscal risk ratings being moderate. In contrast, many emerging markets and low-income countries face tougher fiscal challenges despite their debt often below 60 percent of GDP. Their policy options and funding access are limited.
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