Half a Trillion in Federal Government Debt: What You Need to Know About Europe’s Economic Pressures

In March, the net federal government debt reached a record high of 500.534 billion euros, surpassing half a trillion for the first time, according to Jean Deboutte, director of the Debt Agency. This marks a significant increase in government debt, as previously reported by the agency.

Deboutte confirmed that the rise in debt is part of a planned increase that is expected to reach 21.5 billion euros by 2024. Last year saw an increase of 27.4 billion euros, bringing the total federal government debt to over 500 billion including investments. However, this is the first time that the pure debt has reached this figure.

It’s important to note that this only accounts for the federal government debt and when accounting for all government debts in the country, the total surpasses 600 billion euros. The rise in debt is due to various factors such as increased spending on social programs and infrastructure projects, as well as lower tax revenue due to economic downturns and pandemic-related measures.