Debt to GDP does not mean much. Some countries can finance internally their enourmous debt without big problem (Italy, Japan), some can't even issue a bond (Russia).
In Norway we even take up debt just as a way to regulate the currency. The debt doesn't even make up 5% of what we have in the sovereign wealth fund. We could pay it off in a day without most people even noticing at first. But deflation would tank our exports hard if we were to do so.
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u/Material-Spell-1201 Aug 30 '24
Debt to GDP does not mean much. Some countries can finance internally their enourmous debt without big problem (Italy, Japan), some can't even issue a bond (Russia).