Global Debt Dynamics and Risks

This chapter explores the current state of global debt, comparing it to historical financial crises and highlighting the lower systemic risks due to improved balance sheets. It focuses on the debt levels in key economies like Sweden, Canada, Australia, and China, analyzing their interconnected financial systems and the implications of China’s high corporate debt. The discussion underscores the importance of long-term perspectives amidst evolving political and economic conditions, emphasizing how debt servicing impacts growth and stability.