Record global debt requires urgent fiscal action, IMF chief says

Skip to Content News Archives Economy Energy Oil & Gas Renewables Electric Vehicles Mining Commodities Agriculture Real Estate Mortgages Mortgage Rates Finance Banking Insurance Fintech Cryptocurrency Work Wealth Smart Money Wealth Management Investor Personal Finance Family Finance Retirement Taxes High Net Worth FP Comment Executive Women Puzzmo Newsletters Financial Times Business Essentials More Innovation Information Technology FP500 Podcasts Small Business Lives Told Tails Told Shopping Financial Post Store Obituaries Place a Notice Advertising Advertising With Us Advertising Solutions Postmedia Ad Manager Sponsorship Requests Classifieds Place a Classifieds ad Working Profile Settings My Subscriptions My Offers Newsletters Customer Service FAQ News Economy Energy Mining Real Estate Finance Work Wealth Investor FP Comment Executive Women Puzzmo Newsletters Financial Times Business Essentials This advertisement has not loaded yet, but your article continues below.HomeNewsEconomyRecord global debt requires urgent fiscal action, IMF chief saysGlobal public debt is projected to rise above 100% of GDP by 2029Author of the article:Jorgelina do Rosario and Romaine BostickInternational Monetary Fund Managing Director Kristalina Georgieva arrives for a news conference as the The International Monetary Fund (IMF) and the World Bank Group hold their 2025 Annual Meeting at the IMF Headquarters One on October 16, 2025 in Washington, DC. Photo by Andrew Harnik/Getty ImagesThe International Monetary Fund said governments must do more to narrow budget deficits and rein in global debt, which is at a record high.THIS CONTENT IS RESERVED FOR SUBSCRIBERS ONLYSubscribe now to read the latest news in your city and across Canada.Exclusive articles from Barbara Shecter, Joe O'Connor, Gabriel Friedman, and others.Daily content from Financial Times, the world's leading global business publication.Unlimited online access to read articles from Financial Post, National Post and 15 news sites across Canada with one account.National Post ePaper, an electronic replica of the print edition to view on any device, share and comment on.Daily puzzles, including the New York Times Crossword.SUBSCRIBE TO UNLOCK MORE ARTICLESSubscribe now to read the latest news in your city and across Canada.Exclusive articles from Barbara Shecter, Joe O'Connor, Gabriel Friedman and others.Daily content from Financial Times, the world's leading global business publication.Unlimited online access to read articles from Financial Post, National Post and 15 news sites across Canada with one account.National Post ePaper, an electronic replica of the print edition to view on any device, share and comment on.Daily puzzles, including the New York Times Crossword.REGISTER / SIGN IN TO UNLOCK MORE ARTICLESCreate an account or sign in to continue with your reading experience.Access articles from across Canada with one account.Share your thoughts and join the conversation in the comments.Enjoy additional articles per month.Get email updates from your favourite authors.THIS ARTICLE IS FREE TO READ REGISTER TO UNLOCK.Create an account or sign in to continue with your reading experience.Access articles from across Canada with one accountShare your thoughts and join the conversation in the commentsEnjoy additional articles per monthGet email updates from your favourite authorsSign In or Create an Account“We have been warning that fiscal consolidation must take place, and we are seeing a lot of understanding, but not enough action,” IMF Managing Director Kristalina Georgieva said on Sunday at Qatar Economic Forum in New York.Global public debt is projected to rise above 100 per cent of gross domestic product by 2029 — two years earlier than previously anticipated — driven mainly by a surge in the U.S. and China, according to the Washington-based lender.SUBSCRIBER EXCLUSIVE: FP West: Energy Insider brings you behind the oilpatch’s closed doors with exclusive insights from insiders every Wednesday morning.By signing up you consent to receive the above newsletter from Postmedia Network Inc.A welcome email is on its way. If you don't see it, please check your junk folder.The next issue of FP West: Energy Insider will soon be in your inbox.We encountered an issue signing you up. Please try again“We have been advocating with the U.S. to pay attention to the fiscal position.” she said. “Out of conversations with Secretary (Scott) Bessent, there is an understanding that this is not sustainable, that the U.S. has to gradually bring deficit and debt down.”The IMF chief has repeatedly warned of the risks of rising debt levels, urging member states to take action. Last month, she said most advanced economies, including the U.S., have debt paths that call for “policy attention.”Inflation remains “stubborn” and it “may be necessary” for central banks around the world to follow the United States Federal Reserve and European Central Bank in raising interest rates, Georgieva said, noting that higher borrowing costs will make it more difficult to service debt.Disruptions to energy and transportation are taking a toll on commodity producers such as Qatar, Kuwait and Iraq, making “sharp contractions” in their economies likely, Georgieva said.That said Qatar — the world’s second largest exporter of liquefied natural gas before the Iran war broke this year — built buffers that are “protecting the economy today,” she said.“Emerging markets have today the same or better monetary policy than advanced economies, where debt levels have jumped,” she added.The IMF, which next month will update its projections for the global economy and inflation, sees Qatar’s economy shrinking by 8.6 per cent in 2026.Long-term uncertainty over LNG market is also a risk for the country’s growth outlook, the fund said. Before the war in Iran, it anticipated the country would grow by 6.1 per cent this year.The government of the State of Qatar is the underwriter of the Qatar Economic Forum, Powered by Bloomberg.This advertisement has not loaded yet.Notice for the Postmedia NetworkThis website uses cookies to personalize your content (including ads), and allows us to analyze our traffic. Read more about cookies here. By continuing to use our site, you agree to our Terms of Use and Privacy Policy.