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1. United States

Debt : $14.590 trillion (9 August 2011)Per capita debt : $46,929Debt as in percentage of GDP : 94%

The United States has the world's highest external debt at a whopping $14.590 trillion. The US public debt burden has become unsustainable and its debt and deficit ratio will remain high for a long period unless the governmentcuts down spending effectively. The economic crisis in US began with the subprime mortgage crisis. Following this, the US economy fell into a recession in 2008. Flawedpolicies allowed lenders to offer loans to subprime borrowers without considering the risk of future default.

External debt (or foreign debt) is that part of the total debt in a country that is owed to creditors outside the country. The debtors can be the

government, corporations or private households. 2. United Kingdom

Debt : $8.981 trillionPer capita debt : $144,338Debt as in percentage of GDP : 400

Britain's economy has also plunged into deep crisis. The budget deficit has risen to more than 156 billion pounds. The manufacturing output fell by 0.4 per cent in June from the previous month as there is a drastic fall in domestic demand. The country

GDP is expected to fall further. 3. Germany

Debt: $4.713 trillionPer capita debt : $57,755Debt as in percentage of GDP : 142

G ermany which bounced back from the 2008 recession has largely remained immune to the crisis. However, the US downgrade and mounting debt on other Euro zone nations could hit its coffers as well.

Germany already bears the burden of the 120 billion euros of the euro bailout fund's 440 billion euros. Germany's budget deficit is 2.3 per

cent of gross domestic product. 4. France Debt : $4.698 trillionPer capita debt : $74,619Debt as in percentage of GDP : 182

A crisis is imminent in France as its budget deficit is 6 per cent of gross domestic product. 5. The Netherlands Debt: $3.733Per capita debt : 225,814Debt as in percentage of GDP : 471

The global financial crisis has hit The Netherlands badly. The Dutch economy entered recession in the fourth quarter of 2008.In 2009, however, the GDP growth slipped by 3.9 per cent. The economy recovered slowly in 2010. In the third quarter the economy grew by1.8 per cent.The nationalisation of banks has dented the state's finances. 6. Japan


The devastating earthquake and tsunami has pushed the Japanese economy into a grave crisis. Japan's high rate of growth has also been hit with massive bank loan defaults. 7. Ireland

Debt : $2.253 trillionPer capita debt : $503,914Debt as in percentage of GDP : 103

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Ireland faced a recession in September 2008, followed by a rise unemployment. Ireland was the first state in the Eurozone to enter recession. 8. Norway


Norway escaped largely unhurt from the economic crisis. Unlike other debt-ridden nations, Norway is not a member of the Eurozone. It hasits own currency, the Norwegian krone. 9. Italy Debt : $2.223 trillionPer capita debt : $36,841Debt as in percentage of GDP : 108

Italy's economy has seen one of the lowest growth rates in the world. A very high public debt highlights the fact the country cannot repayback its debt. The country lacks the resources to accelerate growth. 10. Spain

Debt : $2.166 trillionPer capita debt : $47,069

Debt as in percentage of GDP : 154

In Spain, long term loans, realty sector crash and bankruptcy of major companies, rise in unemployment at 13.9 per cent in February 2009escalated the crisis. 11. LuxembourgDebt : $1.892 trillionPer capita debt : $3,759,174Debt as in percentage of GDP : 3,443

Luxembourg has experienced a severe recession after the global financial crisis. Luxembourg, being a financial nerve centre was badly affected b the recession. The pace of growth slowed down and unemploymentincreased. 12. Belgium

Debt: 1.241 trillion

Per capita debt : $113,603Debt as in percentage of GDP : 266

Belgium is in deep crisis after market traders pushed the cost of insuring the country's debt to record highs. 13. Switzerland Debt : $1.200 trillionPer capita debt : $154,063Debt as in percentage of GDP : 229

Many of the European nations living beyond their means by borrowing huge funds are struggling to streamline the economy. Swiss banksthat suffered from the financial crisis were bailed out. 14. Australia

Debt : $1.169 trillionPer capita debt : $52,596

Debt as in percentage of GDP : 95

The Australian economy's slow performance resulted in a sharp fall in the Australian dollar. Australia's real GDP growth will be 2 per cent this calendar year and 3.5 per cent next year. 15. Canada


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Though battered by the 2008 global financial crisis, the Canadian economy has emerged as one of the strongest advanced economies inthe world.

16. Sweden

Debt: $853.30 billionPer capita debt : $91,487Debt as in percentage of GDP : 187

S weden went through a bad spell between 1990 and 1993. Its GDP went down by 5 per cent and unemployment rose to record highs. Thereal estate boom also crashed adding to its economic woes. 17. Austria Debt : $755 billionPer capita debt : $90,128Debt as in percentage of GDP : 200

Austria's economic growth received a jolt with the global financial crisis in 2007-2008. Falling domestic employment, fall in spending by households and enterprises pushes the economy into crisis.

18. Denmark

Debt: $559.50 billionPer capita debt : $101,084Debt as in percentage of GDP : 180

Denmark's economic woes started in 2007 with the crash of the housing sector. Housing prices dropped in 2008-09. The global financial crisis further hit its prospects. In 2010, Denmark saw a slight recovery. 19. Greece

Debt : $532.90Per capita debt : $47,636Debt as in percentage of GDP : 174

G reece is going through its worst years. Uncontrolled spending and cheap lending has seen its debt levels zoom to scary heights. Also, the failure to implement financial reforms has resulted in losses of $413.6 billion, much larger than the country's economy.Greece and Ireland have the highest poverty rate in the 15-member EU, while Sweden has the lowest at 9 per cent. 20. Portugal

Debt: $497.80Per capita debt : $46,795Debt as in percentage of GDP : 217

P ortugal's economy has posted an average annual growth of less than 1 percent over the past 10 years. The country faces a huge foreign debt owning to reckless spending without generating any returns. Portugal is set to introduce austeritymeasures including tax hikes and pay cuts.

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