Page 12 - Policy Economic Report - October 2025

POLICY AND ECONOMIC REPORT
OIL & GAS MARKET

? The euro area current account surplus stood at 1.9 percent of GDP in the first half of 2025
compared with 3 percent over the same period in 2024 and 2.3 percent during 2013–24, largely
because of an increase in the primary income deficit.

? Current account surpluses stood at 3.2 percent of GDP in China and 4.7 percent of GDP in Japan,
which are larger than in the same period of 2024 and when compared with the historical
averages during 2013–24.

2. Global Debt Remains Above 235% of World GDP- IMF
? Global debt has stabilized, though it remains at an elevated level, as a continued reduction in
private-sector lending offset greater borrowing by governments.

? Total debt was little changed last year, just above 235 percent of global gross domestic product,
according to the latest update of the IMF’s Global Debt Database.

? Private debt declined to under 143 percent of GDP, the lowest level since 2015, reflecting a
reduction in household liabilities and little change in non-financial corporate debt. In contrast,
public debt rose to nearly 93 percent, according to our database reflecting an annual survey of
the amount and composition of debt held by governments, businesses, and households.

? In US dollar terms, total debt increased slightly to $251 trillion, with public debt rising to $99.2
trillion and private debt decreasing to $151.8 trillion.

Figure 5: Global debt as a % of global GDP

Source- IMF

? In the US, general government debt last year rose to 121 percent of GDP (from 119 percent),
while China saw an increase to 88 percent (from 82 percent). Excluding the US, public debt in
advanced economies fell by more than 2.5 points to 110 percent of GDP. Increases in some

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