10 Countries Going Broke in 2025

Summary

This video explores the financial crises faced by 10 countries that are on the brink of bankruptcy by 2025. From Venezuela’s oil-dependent economy to Sri Lanka’s debt disaster, the video highlights severe economic struggles such as hyperinflation, soaring poverty, and rising debt obligations. Countries like Greece, North Korea, and Argentina have faced years of mismanagement, while others like El Salvador and Bangladesh battle economic instability. The script paints a grim picture of how poor governance, global economic factors, and social unrest are pushing these nations toward financial collapse.

Takeaways

• 😀 Venezuela’s economy is in freefall due to corruption, mismanagement of oil wealth, and a reliance on oil exports, with millions living in poverty and requiring humanitarian aid.
• 😀 Greece's economy remains fragile despite its rich history and tourism appeal, struggling with high debt, low wages, and chronic tax evasion, making recovery uncertain.
• 😀 North Korea’s economy is collapsing due to sanctions, food shortages, and severe mismanagement, with its GDP per capita among the lowest in the world and most citizens living in poverty.
• 😀 Argentina’s ongoing cycle of debt defaults and hyperinflation continues to undermine its economy, with poverty rates soaring and the likelihood of a default in 2025 at 75%.
• 😀 El Salvador is grappling with a high debt-to-GDP ratio, economic instability, and the controversial adoption of Bitcoin, which has shaken investor confidence and limited economic growth.
• 😀 Belgium is struggling with rising national debt, unemployment, and inflation, leading to concerns about the sustainability of its economic model in the coming years.
• 😀 Myanmar’s economy is severely impacted by civil unrest, currency devaluation, and disrupted trade, with a third of its population facing economic insecurity.
• 😀 Bangladesh’s economic growth is stalling due to rising debt, inflation, and a struggling garment industry, while its currency devaluation and rising poverty add to its economic challenges.
• 😀 Zimbabwe, though not officially bankrupt, is still plagued by hyperinflation, unemployment, and a collapsing currency, making it one of the most financially unstable countries in the region.
• 😀 Sri Lanka is in a dire financial crisis, with a history of debt defaults, high poverty rates, and slow recovery, making it one of the countries most at risk of bankruptcy in the next few years.

Q & A

What is the main factor behind Venezuela's economic collapse?

Venezuela's economic collapse is primarily due to overdependence on oil revenues, poor economic management, corruption, and political instability, particularly under President Nicolás Maduro's leadership. The collapse of global oil prices and rampant inflation further exacerbated the situation.

How has Greece's financial crisis evolved since the 2008 financial meltdown?

Since the 2008 financial crisis, Greece has struggled with weak banking sectors, high debt, and poor tax collection. The country’s national debt has overwhelmed its GDP, with persistent budget deficits and rising poverty rates. Despite its rich cultural heritage, Greece continues to grapple with economic instability.

Why is North Korea's economy on the brink of collapse?

North Korea’s economy is teetering on the edge of collapse due to a combination of severe international sanctions, mismanagement, and agricultural failures. The country’s decision to close its borders in 2020 further worsened its economic situation by halting critical imports like grain and fertilizers from China.

What is the current debt situation in Argentina and how is it affecting the population?

Argentina's debt stands at over $400 billion, and the country has defaulted on its sovereign debt three times in the 21st century. This ongoing financial instability has led to extreme inflation and a poverty rate of over 50%. The economy's future remains uncertain, with a high chance of default in the coming years.

What are the primary financial challenges faced by El Salvador?

El Salvador faces challenges such as a high debt-to-GDP ratio of 81.3%, dependence on the U.S. for investment and remittances, and inflation. The controversial decision to make Bitcoin legal tender in 2021 has also shaken market confidence. As a result, the country's financial system is unstable, and poverty rates remain high.

How has Belgium's debt situation worsened since the pandemic?

Belgium's national debt has ballooned due to high government spending in response to the pandemic, persistent budget deficits, and rising interest rates. This has led to a debt-to-GDP ratio that is more than twice the median for sovereign states. Additionally, rising unemployment and inflation are straining the country's financial stability.

What factors are contributing to Myanmar's economic decline?

Myanmar’s economy is suffering due to ongoing civil war, which has disrupted trade and daily life. The country faces a devaluing currency, rising poverty, and a collapse in exports and imports. A lack of energy supply further hampers industrial production, contributing to the country’s financial difficulties.

What are the key issues facing Bangladesh's economy?

Bangladesh's economy is struggling with high national debt, inflation, and a weak currency. The country's key export industry, garments, has been hit by canceled orders and unsafe working conditions. The ongoing political instability and devaluation of the taka have further destabilized the economy.

How did Zimbabwe's hyperinflation crisis start, and what is the current situation?

Zimbabwe’s hyperinflation crisis began in the early 2000s when the government printed money to finance a growing budget deficit, leading to extreme inflation. Although the country has made efforts to stabilize, it still faces high unemployment, a devalued currency, and ongoing economic reforms to address a public debt of $21 billion.

What caused Sri Lanka's financial collapse, and how has it impacted the population?

Sri Lanka’s financial collapse was triggered by years of poor tax policies, excessive borrowing, and the COVID-19 pandemic. The country defaulted on its $83 billion debt in 2022, and poverty rates soared. Structural reforms were reversed, and rising debt obligations are obstructing recovery, leaving nearly 26% of the population in poverty.