Mubasher: Global sovereign debt is expected to reach $50 trillion in 2019, S&P Global forecast said.

Sovereigns’ loans will increase by 3.2% year-on-year to $7.78 trillion this year, the US-based financial services company forecast.

About 70% of these loans will be used to refinance maturing long-term debt, S&P’s data showed.

S&P noted that net borrowing requirement is expected to reach $2.3 trillion in 2019, accounting for 2.6% of the gross domestic products (GDPs) of rated sovereigns.