Global Debt Report 2024
Bond Markets in a High-Debt Environment
The Global Debt Report examines sovereign and corporate debt markets, providing insights into current market conditions and associated policy considerations, including possible financial stability risks. This first edition consolidates the Sovereign Borrowing Outlook, previously a separate OECD publication, and introduces new chapters on corporate bond markets and sustainable bonds.
Chapter 1 provides an overview of sovereign borrowing globally and an outlook for OECD countries, with a focus on the impact of recent developments in funding conditions and changes to the investor base. Chapter 2 explores global corporate bond market dynamics, build-up of risks and vulnerabilities and the impact of a changing macrofinancial landscape. Chapter 3 looks at trends in global sustainable bond markets and discusses policy considerations such as the sustainability premium, the roles of service providers and market liquidity.
Also available in: French
Sovereign borrowing outlook
Gross borrowing in the OECD area increased in 2023, having fallen in the previous two years, and is projected to reach a record high in 2024, surpassing the previous peak during the height of the COVID-19 pandemic. This has pushed outstanding sovereign debt to unprecedented levels, yet debt-to-GDP ratios have remained relatively stable, as borrowing increases have been largely offset by the impact of inflation on nominal GDP.Despite the cost of borrowing increasing for the third consecutive year, the public finances of OECD countries are partially insulated from higher rates because of the lengthening of maturity profiles since 2008. At the same time, as central banks begin reducing their holdings of sovereign bonds, the net supply for the market to absorb has reached record levels.
Also available in: French
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