China’s Debt Interest Costs Are Soaring—and Growing Faster than Any Other Major Budget Category

China's debt interest costs are soaring above U.S. levels and growing faster than any other budget category as Beijing struggles to prop up growth

China's spending on interest payments accounts for 19% of the central government’s general public budget and skyrocketed 341% between 2013 and 2025.

China Plans Debt-Interest Spending Equal to 19.2% of Central Outlays

China’s 2026 debt-interest budget rises 6.7% to RMB 8,739.9 billion as Beijing expands fiscal support for slower growth.

China’s debt interest costs are soaring above U.S. levels and growing faster than any other budget category as Beijing struggles to prop up growth

The world is flooded with debt, but while the U.S. and Europe have caused angst on global markets lately, China’s fiscal situation isn’t looking so great either. In fact, China’s debt has shot up so much in recent years that interest payments on all its borrowing are commanding a bigger share of…

China’s debt interest costs are soaring—and growing faster than any other major budget category

The world is flooded with debt, but while the U.S. and Europe have caused angst on global markets lately, China’s fiscal situation isn’t looking so great either. In fact, China’s debt has shot up so much in recent years that interest payments on all its borrowing are commanding a bigger share of public spending. Debt-servicing […]