Debt has become a worldwide problem now that can eventually hit like a crisis. An estimate of $250,000 trillion gives a real shock because it is no matter of laugh. The global debt is going to snatch the rights of upcoming generations and it has the tendency to exist is crucial measures are not taken. With the passage of time, a global debt can expand to hundreds of years in the future because countries are not focusing on the solutions to it. Instead, governments find their safety in printing more money without considering that it is damaging to the economy.
- Modern monetary policies need to be reconsidered and changed. One of the foremost causes of global debt is how the supply of money has been controlled by central banks in countries.
- Developing countries are living on the mercy of developed countries. These poor countries are trapped in a loop of ongoing debt because they are unable to cover past debts. International organizations should come up with central mechanisms through which this pressure over developing countries should be lightened.
- The financial systems running internationally need a mechanism that could fairly deal with sovereign debt. One of the foremost steps could be the creation of an international bankruptcy court that will bring stability to the global economy.