Correct option is D
The correct answer is (D) $17 trillion
Explanation:
- According to the OECD Global Debt Report 2025, sovereign bond issuance in OECD countries is projected to reach a record $17 trillion in 2025, up from $14 trillion in 2023 .
- This increase reflects higher borrowing needs amid rising interest rates and the maturity of existing debt, with nearly 45% of OECD sovereign debt set to mature by 2027 .
Information Booster:
- The surge in bond issuance is driven by factors such as increased defense spending, infrastructure investments, and the need to refinance maturing debt at higher interest rates.
- The rise in borrowing costs has led to higher debt service burdens, with interest payments consuming a larger share of GDP in many OECD countries .