Fiscal Policy under Pressure: High Debt, Rising Risks

Global public debt rose to just under 94 percent of GDP in 2025 and is set to reach 100 percent by 2029, one year earlier than projected in April 2025. This accumulation is driven largely by the world’s major economies. Public finances are under strain from mounting spending pressures—on social needs, defense, and strategic autonomy—and rising interest burdens. The fiscal consequences of the Middle East conflict add further to these fragilities. Structural shifts in sovereign debt markets—including the growing role of leveraged nonbank intermediaries and erosion of the U.S. Treasury’s safety premium—are amplifying vulnerability to repricing. Credible, well-sequenced fiscal adjustment is urgently needed across all country groups.

The estimates and projections in the April 2026 Fiscal Monitor Chapter 1 and Methodological and Statistical Appendix are based on statistical information available through April 1, 2026, but may not reflect the latest published data in all cases.

The compiled full report (PDF) of the April 2026 Fiscal Monitor will be available online by April 30, 2026.