Is it already too late ?My Comment: 2025 should be interesting. It could be the year of recking for the massive global debt. Meanwhile, party like there's notomorrow.
Governments risk imploding under weight of global debt crisis Excerpts:
“It takes time for policymakers to adjust policies, and if they wait for markets to wake up, it is going to be too late.”
Highly indebted countries must act to reduce their deficits before it is too late, the institution said, as the threat of higher borrowing costs risks making the situation worse. The US economy is already borrowing heavily under President Joe Biden, and his incoming replacement, Donald Trump, is expected to increase the national debt pile to fund tax cuts. “A ‘wake up moment’ looks like a sharp adjustment in bond yields that ultimately forces policymakers to focus,” said Mr Borio.
“That can be quite disruptive, especially because government bond markets are benchmark markets for the pricing of all sorts of assets.”
In the US’s case, a blow-up in bond yields would hit the entire global economy.