Another quick update on the numbers. Federal government debt rose to RM484.6 billion as at the end of 3Q2012 (RM billions):
A further RM8.1 billion was added in October, to give a grand total of RM492.7 billion. Growth in debt this year has now slowed to below 10% (in log terms), for the first time since 2008 (log annual and quarterly changes):
However, since nominal GDP growth has been slowing at the same time, the debt to GDP ratio is still slowly creeping up (ratio to GDP):
In growth terms (log annual changes)…:
…it’s really about slowing nominal GDP growth more than anything else which has been running below trend this year, mostly because of lower average commodity prices.
On a per capita basis (RM)…:
…the current level of debt amounts to an unadjusted RM16.7k per person, and RM12.8k on an inflation adjusted basis. Based on issuance in November and December, total debt will have just breached the half trillion mark by the end of the year.