Global Debt Reaches Record $353 Trillion Amid De-Dollarisation Signals
Global debt has reached a record level approaching $353 trillion, according to new data that also shows emerging signs of a structural shift away from US dollar-denominated instruments as governments and institutional investors diversify their debt portfolios.
The milestone underscores the cumulative effect of years of deficit spending, pandemic-era stimulus, and post-conflict reconstruction financing across both advanced and developing economies, with sovereign debt levels in particular reaching historically elevated ratios relative to GDP.
The accompanying signals of a move away from the US dollar as the dominant reserve and debt currency represent a potentially significant development for global financial architecture, reflecting a growing geopolitical diversification impulse among central banks and sovereign wealth funds.
Economists warn that a combination of record debt levels and weakening dollar primacy could generate increased volatility in sovereign bond markets, complicate monetary policy normalisation, and heighten systemic financial risk across interconnected global economies.
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