G7 Public Debt Crisis: Rising Concerns About Fiscal Sustainability

The public debt levels within the G7 nations have reached alarming heights, prompting serious concerns about the long-term stability of global economies in 2025. As a result, budget management strategies are being closely scrutinized for signs of vulnerability and potential economic instability. A recent downgrade of the U.S. triple-A rating by Moody’s and disappointing bond sales from Japan exemplify this growing tension. The combination of high debt levels, declining demand for long-term bonds, and poor bond sales is signaling a potential market crisis that could disrupt global financial markets.