The $2 trillion interest bill that is hitting governments

The world spent the last ten plus years taking advantage of rock bottom interest rates to get stuck in debt. An unprecedented bill is coming.

Governments are expected to spend a net $2 trillion paying interest on their debt this year as higher interest rates make borrowing more expensive, up more than 10% from 2022, according to analysis by International Monetary Fund data by research consultancy Teal Insights and its separate analysis by Fitch Ratings. By 2027, it could exceed $3 trillion, according to Teal Insights.