PODCAST | Rising government debt: Should we be worried?
PSG Wealth’s chief investment officer, Adriaan Pask, discusses this global trend and compares SA’s debt levels with the rest of the world
Levels of government debt, both locally and globally, have steadily increased over the past decade, jumping substantially during the Covid-19 pandemic.
The latest data shows that SA is sitting at a 67.40% debt-to-GDP ratio, while the US is at 129%.
Now that interest rates are increasing to combat higher inflation, the cost to cover these debts is also rising. This makes it increasingly difficult to see where governments will get the revenue to pay off these debts and to invest for future growth.
In this podcast, hosted by Mudiwa Gavaza, deputy editor of Business Day and Financial Mail, PSG Wealth’s chief investment officer, Adriaan Pask, explains why these debt levels are a concern for PSG Wealth and discusses the risks associated with debt.
This article was sponsored by PSG Wealth.
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