Global Debt Reaches $365.5 Trillion!
The pace of debt growth has slowed compared with the previous year.
According to the International Institute of Finance (IIF) “Global Debt Monitor” report, global debt increased by more than $10 trillion in the first half of 2026, reaching $365.5 trillion. The pace of debt growth has slowed compared with the previous year. In the same period of 2025, global debt had increased by $21 trillion. The IIF attributes the slowdown to high interest rates, rising debt servicing costs, higher energy prices and geopolitical risks. The largest share of global debt is held by governments and non-financial corporations. In the second quarter of 2026, government debt stood at $110.5 trillion, non-financial corporate debt at $105.1 trillion, financial sector debt at $84.3 trillion, and household debt at $65.7 trillion.
Emerging markets accounted for a significant share of debt growth. Their total debt reached $110.6 trillion, with China leading the increase. In developed markets, total debt stood at $255 trillion. Global debt is equivalent to approximately 310% of GDP. This figure is 25 percentage points below its peak level at the beginning of 2021. However, the IIF notes that one of the main reasons for the decline is that high inflation has increased nominal GDP. The United States, France, the United Kingdom and Japan are facing large budget deficits and rising interest costs. In G7 countries, the average cost of government borrowing has reached its highest level since 2008.