10 Countries With Highest Debt In The World

By siliconindia | Thursday, 12 September 2013, 12:36 Hrs

4. Hungary

Rank-4

Gross foreign debt and foreign debt payments- 149 percent

The economy of Hungary saw a transition from socialist economy to market economy in early 1990s which was accompanied by market liberalization. It is a structurally, politically and institutionally open economy and is part of the European Union’s single market. In 2011, the Forint (the currency of Hungary) fell almost 15 percent and the economy saw a significant contraction in 2012.

5. Poland

Rank-5

Gross foreign debt and foreign debt payments- 120 percent

Poland witnessed a transition from Communism to Capitalist system which paved the way for free-market economy in 1980s. However, under the Prime Minister, Tadeusz Mazowiecki, the democratically elected government saw many economic challenges like, inconvertible and dysfunctional currency, and large debts accumulated during 1970s. However, the country is the only one that did not succumb to recession at the height of global financial crisis in 2009. The GDP per capita of Poland as of 2012 is $21,000 which is below European Union’s average.