Signal Household debt is back to early-2000s levels in the US and Europe

Summary

MGI finds that household debt relative to GDP is declining in most economies, bringing levels in the United States and Europe back to where they were in the early 2000s. Many countries now sit below their average since 2000, and Ireland stands out at more than 40 percentage points of GDP beneath its own average. At the upper end, Australia and Canada still carry household debt above 100 percent of GDP, although both are below their peaks. China is the exception in the other direction, with the highest household debt compared with its own post-2000 average. The report cautions that lower household borrowing makes household balance sheets sounder, but does not remove risk if debt builds up in other sectors.