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Global debt hits record of over $324 trillionwww.reuters.com/world/china/global-debt-hits-record-over-324-trillion-says-iif-2025-05-06/
425 sats \ 3 comments \ @Coinsreporter 11 May econ
The Institute of International Finance said China, France, and Germany were the largest contributors to the global debt increase, while debt levels declined in Canada, the UAE, and Turkey.
The global debt-to-output ratio continued to move slowly lower, standing just above 325%. However, in emerging markets the ratio hit a record high at 245%.
Total debt in emerging markets rose by over $3.5 trillion in the first quarter to a record high of more than $106 trillion. China alone accounted for over $2 trillion of the rise, according to the IIF. China's government debt-to-GDP is at 93% and is expected to hit 100% before the end of the year.
Is it a negative for fiat money? I think the more the debt is, the more time it will sustain, albeit not all of them.
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17 sats \ 2 replies \ @Undisciplined 11 May
China probably shouldn't be thought of as an emerging market anymore.
I think this is just the natural course for fiat. The ruling class can just manifest purchasing power out of thin air, so they're going to do that. It's hard to say that's "bad for fiat" since it's kinda the point of the system.
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40 sats \ 1 reply \ @Coinsreporter OP 11 May
since it's kinda the point of the system.
Yes that's what I meant. This debt thing actually is encouraging for fiat money's growth. The only thing I see that some currencies are victimised along the course.
China is definitely not an emerging economy anymore.
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17 sats \ 0 replies \ @Undisciplined 11 May
Ultimately, debt issuance and the resulting inflation will be fiat's downfall, so I get why people would say it's bad for the system.
It's always been a scam, though, and the point of a scam is to scam people out of their wealth.
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