The Organisation for Economic Co-operation and Development stated on Thursday that the total outstanding government and corporate debts globally surpassed $100 trillion last year, as rising interest costs leave borrowers with tough choices and needing to prioritise productive investments.
According to a global debt study by the OECD, governments in its member nations spent 3.3% of their GDP on interest payments, which is more than they spend on defense.
In the last 20 years, interest expenses as a share of output increased from the lowest to the highest between 2021 and 2024.