Information and analytical center Experts Club analyzed the data of the International Monetary Fund (IMF) on the external debts of states and their ratio to the GDP of states. The video is available on the Experts Club YouTube channel. In 2023, the leader in terms of public debt to GDP was Sudan – its figure reached 252%. This is due to the economic crisis, the consequences of the armed conflict and hyperinflation.
In second place is Japan (206%), which traditionally holds a high debt burden due to large-scale government borrowing and debt financing of the budget.
Third place went to Lebanon (195%), whose economy continues to suffer from the effects of the financial crisis, corruption and political instability.
Further down in the ranking are:
4. Greece – 185%
5. Singapore – 177%
6. Argentina – 155%
7. Italy – 132%
8. Zambia – 127%
9. Bahrain – 123%
10. Maldives – 123%
11. Bhutan – 116%
12. Laos – 116%
13. Cape Verde – 114%
14. Barbados – 113%
15. USA – 112%
16. Cyprus – 112%
17. Portugal – 105%
18. Great Britain – 101%
19. Dominica – 100%
20. Republic of Congo – 99%
Maxim Urakin, founder of the information and analytical center Experts Club, PhD in Economics, said that a high level of public debt in relation to GDP is a serious challenge for the economy of any country.
“In some cases, such as Sudan or Lebanon, this is a consequence of structural crises, armed conflicts, and political instability. At the same time, countries such as Japan and Singapore, despite their high debt ratios, have sustainable economic models that allow them to effectively manage their financial obligations. It is crucial for Ukraine to find a balance between attracting external financing and ensuring economic sustainability to avoid a debt trap and excessive dependence on creditors,” Urakin said.
As of 2023, Ukraine’s external debt totaled $132.4 billion and its ratio to GDP was 87%. Ukraine is not among the top 20 countries with the highest debt-to-GDP ratio, but ranks high among countries with large government liabilities.
In terms of absolute debt, Ukraine is about 30th in the world, but due to the military conflict and the need for external financing, this indicator continues to grow.
If the situation does not stabilize, further growth of the debt burden is predicted, which may lead to difficulties in debt servicing and increased dependence on international creditors.
Video analysis is available at the link – https://www.youtube.com/shorts/oT_5cTOnM8k
