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US, China To Lead Growth In Government Debts

  • The governments of major economies—particularly the U.S. and China—are projected to boost their borrowing in coming years as they spend more on aging populations and a shift to clean energy, the International Monetary Fund said.
  • Worldwide government debt declined briefly with the end of costly pandemic-related measures, but it is expected to start climbing again this year and keep rising over the coming five years, the IMF said in its Fiscal Monitor report released Wednesday.
  • The projected rise also partly reflects high interest payments on debt, following central banks’ interest-rate increases to combat high inflation.
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