Wednesday, January 6, 2016

6/1/16: Debt Pile: BRICS v BRIS


When it comes to debt pile for the real economic debt (Government, private non-financial corporates and households), China seems to be in the league of its own:




















Per chart above, China’s debt is approaching 250 percent of GDP, with second-worst BRICS performer - Brazil - sitting on a smaller pile of debt closer to 140 percent of GDP. The distance between Brazil and the less indebted economies of South Africa and India is smaller yet - at around 12-14 percentage points. Meanwhile, the least indebted (as of 1Q 2015) BRICS economy - Russia - is nursing a debt pile of just over 90 percent of GDP, and, it is worth mention - the one that is shrinking due to financial markets sanctions.

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