US to Lead Global Debt in 2026

International Monetary Fund data anticipates that U.S. government debt will reach $40.7 trillion by 2026, surpassing the combined debts of China, Japan, the United Kingdom, and France. The debt-to-GDP ratio is expected to be around 126%. Despite the large size of this debt, the strength of the dollar and its role as a global reserve currency help sustain demand for U.S. Treasury bonds. In contrast, Japan leads the world with a debt-to-GDP ratio exceeding 204%, while other countries such as Singapore, Sudan, Bahrain, Greece, Italy, France, and the United Kingdom have ratios ranging between 98% and 169%. A country's ability to bear its debt varies based on its credit rating and political stability, with some European economies continuing to face high levels of public debt despite efforts to reduce deficits.

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