LONDON—This past week, U.K. long-term borrowing costs hit their highest level in decades, causing Treasury chief Rachel Reeves to shoot down suggestions that the heavily indebted country is heading for a fiscal crisis. PREMIUM The U.K. is expected to increase taxes again, partly to offset rising borrowing costs. Most economists agree with her—for now. But…
You are a finance minister after a decade of meagre economic growth, shocks from a financial crisis, a pandemic and sky-high energy prices. Public debt is worth more than your country’s gross domestic product, interest rates are at their highest in years and merely servicing outstanding debt is taking up an ever-greater share of tax…
Donald Trump is used to managing debt. But not like this. As a real estate developer, Trump relied heavily on borrowed money to fund projects. Trouble paying back his debts contributed to six business bankruptcies. Trump battled back by writing off some loans, refinancing others, finding new lenders, and changing his business model. The public…