Government Debt to GDP by Country — 2025 World Rankings

Government debt as a percentage of GDP measures the total stock of government borrowing relative to the size of the economy. It is the most widely used indicator of fiscal sustainability — how much a government owes compared to how much the country produces. The IMF tracks general government gross debt, which includes central, state, and local government obligations.

The global debt landscape has shifted dramatically since the 2008 financial crisis and especially since the COVID-19 pandemic. Advanced economy debt-to-GDP ratios jumped from an average of about 70% before 2008 to over 110% by 2024. Japan leads at over 250% of GDP — a level that would be unsustainable for most countries but is managed by Japan's unique combination of domestic savings, a current account surplus, and a central bank that holds roughly half of all government bonds.

Whether high debt is dangerous depends on context. The United States can sustain debt above 120% of GDP because the dollar is the world's reserve currency and Treasury securities are considered the safest asset globally. Greece, with similar debt levels, required multiple bailouts because it couldn't print its own currency or benefit from safe-haven demand. For emerging markets, debt sustainability thresholds are typically lower — a debt-to-GDP ratio above 60% starts to raise alarm bells because these countries face higher borrowing costs and greater currency risk. The key variables are interest rates, growth rates, and the currency denomination of the debt.