The world has fallen into debt like never before after battling from Covid-19 and the borrowing might continue further. 

Last year, governments, companies and households raised $24 trillion to balance the pandemic’s economic toll, bringing the total global debt to an all-time high of $281 trillion by the end of 2020.

Governments with big budget deficits are planning to increase debt by another $10 trillion this year as political and social pressures make it difficult to control spending.

Both established and emerging markets will be looking for a perfect balance. While an economic recovery may direct some governments to start developing plans to roll back stimulus, doing so too soon could increase defaults and bankruptcy risk. But waiting too long could lead to heavy debt loads.