Developing a country takes a lot of effort and money. Why these countries have the biggest debt deficit?
Public debt or government debt is a common thing among develop countries. They need the extra financial boost to finance their infrastructures development. Those infrastructures are supposedly become the tools for the countries’ income. When those didn’t work, the countries may end up with the biggest debt deficit.
If a country has the most advanced infrastructures and abundant biodiversity yet it also has the biggest debt deficit, do we call it a rich country?
The answer to that question depends on your point of view. Not to mention the country’s debt status itself. Is it increasing or decreasing? Is the country gaining money or losing money?
This list of top 10 countries with biggest debt deficit is not here to judge whether or not these countries are categorized as poor countries. However, it is interesting to see how most countries on this list are one of the leading countries on their field of expertise. The numbers you will see are the percentages of the countries’ public debt compared to their Gross Domestic Product (GDP) income recorded by IMF.
10. United States of America (USA) – Debt Deficit: 102.98% of GDP
We start the list with shocking entry, United States of America. The land of opportunities. The country where most people in the world go to, to chase their American dreams.
USA is one of the most powerful countries in the entire world. The majority of people in the world know this country. Whether it is its politic, its creative industries, or its roles in world’s history.
So why does USA have 102.98% of public debt of its $17,348,075 GDP? Some believe there are three major reasons. Healthcare Program: USA spent $940 billion on healthcare benefit alone. Social Security Program: this program was established to provide financial security for retired pensioners. Defense Budget Expenses: in one year, USA allocated over $700 billion for military related expenditures.
Among those major reasons, other poorly executed expenditures such as education, internal affairs, veteran benefits, and transportation also cost USA the high amount of public debt.