The world’s $2tn interest bill.

Many countries now spend more on debt servicing than defence, including the US, France and the UK.

That number is set to rise in the coming years.


“These massive sovereign debts are having to get refinanced at ever-increasing rates,”  

The summer rout in the global bond market has only augmented the post-Covid surge in yields triggered by inflation shocks, increased government borrowing and the end of central banks’ “quantitative easing” bond-buying programmes.

In UK and France,and in many others across the world, politicians face a fundamental choice on whether to raise taxes or shrink the state to get themselves out of the corner they find themselves in. 

The sheer scale of debt-servicing costs also makes it supremely difficult for countries to raise spending for strategic priorities such as national defence and energy security. 

Financial Times 8 September 2026

https://www.ft.com/content/4f28ef6c-f727-4d36-88a3-bbdbd13ddfbf?syn-25a6b1a6=1




RE: Mer bekymer med företagens skulder.

Alltför många oroar sig för statsskulder och statsskuldräntor. 

Om man har en sedelpress går man inte i konkurs.

Man har en sedelpress om man har en egen valuta. Det är således värre för Tyskland och Frankrike som har euron, styrd av ECB för hela det stora området med varierande situation.

https://englundmacro.blogspot.com/2026/08/alltfor-manga-oroar-sig-for.html


Why the household budget myth is dangerous economics

https://englundmacro.blogspot.com/2026/06/why-household-budget-myth-is-dangerous.html


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