20 Countries with the Highest Government Spending to GDP

1. Kiribati

Expenditure as a Percentage of GDP (2024): 125.55%

GDP Current Prices (2024): $0.31 billion 

Kiribati ranks as the country with the highest government spending to GDP. It is an island country in the Central Pacific Ocean. According to the Asian Development Bank, the GDP of Kiribati is forecasted to grow at 5.3% in 2024, with the GDP per capita forecasted to grow at 3.6% during the same year. Inflation rates for the country are also expected to cool down from 4.0% in 2024 to 3.0% in 2025.

Kiribati has the highest recurring spending-to-GDP ratio, which surpasses all other Island countries in the Pacific. The spending is mostly financed by revenue generated from the fishing industry and taxes, however, a large chunk of Kiribati’s spending is financed through the support of development partners such as the Asian Development Bank and other related international financial institutions. According to the IMF, Kiribati has a negative balance of payment, with general government net lending and borrowing as a percentage of GDP standing at -22.4% as of 2024. Moreover, the country also has an outstanding debt-to-GDP ratio of 9.9% as of the current year.

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