U.S.
China
Japan
Europe
Crowding in of private sector
Government spending should boost, not block, private investment. Excessive borrowing risks crowding it out.
Policy credibility
Investors rely on trust in a country’s creditworthiness and clear, consistent debt policies.
Interest burden affordability
Debt and interest payments must stay within what the borrower can reasonably repay.
Healthy mix of debt demand
Debt sustainability improves when held broadly—domestically and by various diverse entities. Too little foreign interest may reflect weak confidence.
Targeted use of central bank buying
Outside crises, ongoing central bank purchases distort demand.
Capital markets depth and liquidity
Strong, liquid capital markets draw a broad range of investors.
Spending Quality
Is public money crowding in innovation, or stifling growth?
Are investors still buying—and at what cost?
Debt Demand
Are investors still buying—and at what cost?
Debt Demand
Are investors still buying—and at what cost?
Debt Demand
Is monetary policy a prudent backstop or a crutch?
Balanced use of central bank
Is monetary policy a prudent backstop or a crutch?
Balanced use of central bank
Crowding in of private sector
Government spending should boost, not block, private investment. Excessive borrowing risks crowding it out.
Crowding in of private sector
Government spending should boost, not block, private investment. Excessive borrowing risks crowding it out.
Is public money crowding in innovation, or stifling growth?
Spending Quality
Interest burden affordability
Debt and interest payments must stay within what the borrower can reasonably repay.
Are investors still buying—and at what cost?
Debt Demand
Policy credibility
Investors rely on trust in a country’s creditworthiness and clear, consistent debt policies.
Are investors still buying—and at what cost?
Debt Demand
Interest burden affordability
Debt and interest payments must stay within what the borrower can reasonably repay.
Are investors still buying—and at what cost?
Debt Demand
Is monetary policy a prudent backstop or a crutch?
Balanced use of central bank
Consider: quantitative easing and liquidity support should be used only during crisis and recovery periods; sustained central bank purchase programs suggest a structural lack of demand
Targeted use of central bank buying
Debt sustainability improves when held broadly—domestically and by various diverse entities. Too little foreign interest may reflect weak confidence.
Healthy mix of debt demand