5 Countries That have the Most External Debt

In this piece, we will take a look at the 5 countries that have the most external debt. For more countries, head on over to the 30 countries that have the most external debt.

5. France

Total external debt (in $m): 6,932,317

Total external debt per capita (in $): 102,042

Sluggish economic growth and consistently running primary budget deficits have ensured that France continues to accumulate high levels of external debt, and there aren’t any expectations for debt levels to fall drastically anytime soon.

4. Ireland

Total external debt (in $m): 3,163,836

Total external debt per capita (in $): 621,947

Ireland, like a few other countries in our list, is home to several major corporations because of tax benefits afforded to companies incorporated there, as exemplified by the biggest companies in Ireland.

3. Netherlands

Total external debt (in $m): 3,792,083

Total external debt per capita (in $): 214,205

Currently, Netherland’s debt is more than 60% of its total GDP, which is still better than many countries, but not optimal, and one of the reasons the Dutch are among the nations with the highest external debt is due to tax benefits for leverage.

2. Luxembourg

Total external debt (in $m): 3,739,568

Total external debt per capita (in $): 5,746,340

Luxembourg has the highest debt per capita of any country in the world and it’s not even close. Since Luxembourg is a major financial hub, and finance companies tend to have large debts, the debts of all such companies count towards Luxembourg’s external debt.

1. United Kingdom

Total external debt (in $m): 8,815,103

Total external debt per capita (in $): 131,625

Topping the list of the 30 countries that have the most external debt is the United Kingdom, even though it is also a significant owner of U.S. external debt. Currently, the UK government is spending more on public services as compared to what it is raising from taxes, and hence, has to borrow additional money to manage its spend.

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