The International Monetary Fund (IMF) has reported a significant decrease in global debt as a percentage of economic output for the second consecutive year in 2022. However, this decline may be coming to an end as the post-COVID growth surge diminishes. 

• According to an update in the IMF's Global Debt Database, the global debt-to-GDP ratio fell from 248 per cent in 2021 to 238 per cent in 2022.
• The figure stood at 258 per cent in 2020. Over the past two years, strong economic growth and higher-than-expected inflation have contributed to this decline.
• Notably, the reduction has only accounted for approximately two-thirds of the spike in global debt induced by the COVID-19 pandemic.