FX.co ★ Global debt hits record $353 trillion in Q1 2026

The global stock of debt rose by $4.4 trillion in the first quarter to a record $353 trillion. The world debt‑to‑GDP ratio remained at 305%, its 2023 level.

The Institute of International Finance (IIF) links the recent dynamics to heavy borrowing in the United States and a sharp acceleration in nonfinancial corporate debt growth in China. China’s debt burden reached an all‑time high of $36.8 trillion, driven largely by borrowing at state‑owned enterprises. The IIF report notes that investors are diversifying portfolios by reducing exposure to US government bonds. Besides, total global debt had climbed to a record by the end of March, nearly $353 trillion.

Medium‑term forecasts point to further increases in leverage due to population aging and rising spending on defense and energy security. Capital investment in artificial intelligence and the escalation of the Middle East conflict are also materially affecting borrowing volumes. Structural factors are expected to further drive up liabilities in both the public and corporate sectors of the global economy as of May 6, 2026.