Public Debt

Andy Burnham becomes the UK’s new prime minister and prioritizes fixing the economy, which faces sluggish growth, high public debt, and elevated borrowing costs. He pledged to reverse four decades of neoliberalism and increase state involvement in housing, transportation, and public services, though financial constraints may limit his actions.

Gabon's public debt increased by 23% year-on-year to 8,780.3 billion FCFA as of December 2025, driven by a rise in domestic borrowing and a shift away from external financing. The government's reliance on regional markets contributed to the debt growth.

BlackRock is confident Mexico will maintain its investment-grade rating, which supports foreign capital retention. The asset manager views the annual USMCA reviews as manageable and not harmful to economic growth. It also anticipates Mexico’s Treasury will manage rising public debt effectively.

Pinarayi released a white paper titled 'White Paper of Facts' to challenge UDF claims about Kerala's economy, asserting that public debt grew more slowly during LDF's governance than under the previous UDF administration. The white paper was prepared by the AKG Centre for Research and Studies.

The Kenyan government is seeking to suspend a court case challenging its management of over Sh6.9 trillion in public debt, citing an ongoing forensic audit. The Attorney General has requested the High Court to halt proceedings in the petition.

Hong Kong has become this year’s worst-performing stock market. The article highlights anomalies in financial markets, including Japan’s 10-year bond yield at 2.7% despite its high public debt, which exceeds 240% of economic output, and Germany’s lower yield despite significantly less government debt.

Colombia’s independent fiscal watchdog criticizes the government’s budget plan for relying on overly optimistic assumptions, estimating spending $11 billion higher than the finance ministry’s figure. It warns that public debt could reach 61% of output in 2026, the highest on record.

The article claims that the US-Israeli military conflict with Iran has shifted global economic, military, and political power dynamics against America's favor. It highlights the conflict's impact on global security, climate change mitigation, public debt management, and post-unilateralism de-risking efforts.

The ECOWAS Court dismissed a lawsuit filed by SERAP against the Nigerian government, which had alleged that the government's persistent borrowing led to unsustainable public debt, hindering the provision of essential public services.

Most of Lula's spending package operates outside Brazil's fiscal cap, with only a small portion complying with the rules he established. This approach still increases public debt despite the fiscal constraints.

The article discusses how bond markets can accept increased public debt if managed under market-friendly fiscal rules. It highlights the potential for expansive fiscal policies without triggering market concerns.

Namibia's public debt could reach 70% of GDP by the end of the current financial year if the government does not implement spending reforms, according to a warning from the Central Bank.

Israel's multi-front war and defense spending have driven public debt to 69% of GDP, with defense budget doubling since October 2023. Cutbacks in education and healthcare are feared as taxes and social security contributions rise, while a survey shows 31% of Israelis experienced income declines since October 7, 2023.

The U.S. government is projected to reach its $41.1 trillion debt ceiling next year between late winter and mid-summer, according to the Bipartisan Policy Center. Republicans raised the limit by $5 trillion in 2023 via the One Big Beautiful Bill Act, but the next Congress and President Donald Trump must act to avoid default. The Treasury's extraordinary measures are expected to delay a breach for six to nine months, as public debt is forecast to rise to 120% of GDP within a decade.

Senegal’s former Prime Minister Ousmane Sonko was elected parliament speaker after being fired by President Bassirou Diomaye Faye, escalating tensions over the country’s debt crisis. Sonko’s new role could block Faye’s legislative agenda, including IMF-backed debt restructuring, while political turmoil has caused Senegal’s dollar bonds to decline.

Gabon has initiated an audit of its public debt to determine which obligations should be formally recognized. This move is part of the country's efforts to secure a new International Monetary Fund program.

A House of Lords committee report urges Rachel Reeves to increase the buffer against her fiscal rules, citing the UK's unsustainable public debt trajectory. The current buffer, set at £22bn after a 2023 tax hike, risks erosion from the Iran war's economic impact.