History of Government debt in Timeline

By Popular Timelines Editorial Team · Updated: May 30, 2026

Government debt represents a country's accumulated financial liabilities. It primarily increases due to government deficits, which arise when expenditures surpass revenues. This debt can be owed to both domestic and foreign entities; the portion owed to foreign residents contributes to a country's external debt. Tracking changes in government debt provides insights into a nation's fiscal management and economic stability.

1900: Country with the most total debt was France

In 1900, France had the most total debt (£1,086,215,525), followed by Russia (£656,000,000) and the United Kingdom (£628,978,782). On a per-capita basis, the highest-debt countries were New Zealand (£58 12s. per person), the Australian colonies (£52 13s.) and Portugal (£35).

1917: Revolutionary Russia refused to accept responsibility

In 1917, Revolutionary Russia refused to accept responsibility for Imperial Russia's foreign debt.

1979: Almost 70% of all debt in developing countries was denominated in U.S. dollars

From 1979 through 2006, almost 70% of all debt in a sample of developing countries was denominated in U.S. dollars.

1980: World Bank Group analyzed debt levels

From 1980 through 2008, the World Bank Group analyzed debt levels of 100 developed and developing countries. It found that debt-to-GDP ratios above 77% for developed countries (64% for developing countries) reduced future annual economic growth by 0.017 (0.02 for developing countries) percentage points for each percentage point of debt above the threshold.

2001: Argentina's debt crisis

Argentina's debt crisis happened in 2001.

2006: Almost 70% of all debt in developing countries was denominated in U.S. dollars

From 1979 through 2006, almost 70% of all debt in a sample of developing countries was denominated in U.S. dollars.

2007: Rise in government debt

Since 2007, there has been a rise in government debt, which is largely attributable to stimulus measures implemented during the Great Recession.

2008: World Bank Group analyzed debt levels

2010: European Commission requirement for EU Member Countries

In 2010, the European Commission required EU Member Countries to publish their debt information in standardized methodology, explicitly including liabilities that were previously hidden in a number of ways to satisfy minimum requirements on local (national) and European (Stability and Growth Pact) level.

2014: International Monetary Fund's Government Finance Statistics Manual 2014

In 2014, the International Monetary Fund's Government Finance Statistics Manual 2014 (GFSM) described recommended methodologies for compiling debt statistics to ensure international comparability.

2016: U.S. state and local government debt amounted to $3 trillion

In 2016, U.S. state and local government debt amounted to $3 trillion, plus another $5 trillion in unfunded liabilities.

2018: Reports from the trustees for the U.S. Social Security and Medicare trust funds

According to the 2018 annual reports from the trustees for the U.S. Social Security and Medicare trust funds, Medicare faces a $37 trillion unfunded liability over the next 75 years, and Social Security faces a $13 trillion unfunded liability over the same time frame.

2018: Global government debt reached $66 trillion

In 2018, global government debt reached the equivalent of $66 trillion, about 80% of global GDP.

2020: Global government debt reached $87US trillion

In 2020, global government debt reached $87 trillion, or 99% of global GDP.

2020: Worldwide government debt at US$87.4 trillion

In 2020, the value of government debt worldwide reached US$87.4 trillion, equivalent to 99% of global gross domestic product (GDP). Government debt accounted for nearly 40% of all debt, marking the highest share since the 1960s.