Global debt hits $365 trillion as interest costs surge worldwide

The scale of global indebtedness has reached unprecedented levels, with total debt across governments, businesses and households now standing at $365 trillion, according to international financial assessments. The mounting burden comes as interest rates remain elevated following years of central bank tightening, driving up borrowing costs for nations and corporations alike.

The squeeze on government finances has become particularly acute in Europe, where several major economies are facing rising interest expenses on their debt. France has recently crossed a symbolic threshold, now paying higher yields on new borrowing than both Italy and Greece, marking a notable shift in market perceptions of sovereign risk among eurozone nations.

The escalating debt servicing costs have sparked considerable public discontent across the continent. Widespread protests have emerged in multiple European countries, with citizens expressing frustration over austerity measures, reduced public spending and the broader fiscal constraints imposed by high debt repayment obligations.

Economists point to a structural mismatch between debt growth and economic expansion as a key concern. While interest rates have climbed sharply, economic growth in many developed nations has remained modest, meaning governments and businesses must dedicate an increasing share of revenues to debt interest rather than productive investments or social spending.