Marshall Islands: public finances

How much debt does the Marshall Islands have?

The Marshall Islands' total public debt was USD 54.7 million, 19.5% of GDP, on 31 March 2024, according to the Ministry of Finance, Banking and Postal Services' debt bulletin of April 2024 (published by EPPSO as a draft). All of it was external. USD 43.9 million was central government debt and USD 10.8 million was government guarantees. There has been no domestic debt since FY2021.

The Asian Development Bank was owed 62.5% of the total. The bulletin shows debt falling from USD 68.3 million (29.4% of GDP) in FY2021 and projects USD 36.3 million (10.3%) by FY2026. The IMF's 2025 Article IV press release projects external public debt at 18.7% of GDP in FY2025 and 16.4% in FY2026.

Official sources: Ministry of Finance: Debt Bulletin, April 2024 (draft, PDF) · EPPSO: Draft debt bulletin April 2024 · IMF: Republic of the Marshall Islands, 2025 Article IV consultation (press release)

Does the Marshall Islands government run a budget deficit?

The IMF projects the Marshall Islands' government balance (net lending or borrowing) at −5.3% of GDP in fiscal year 2025, a deficit, and +0.6% in FY2026, a small surplus, in its 2025 Article IV press release.

These are IMF projections, not final outturns. The government's budget depends heavily on grants, which the IMF puts at 36.8% of GDP in FY2025 and 48.2% in FY2026, mostly under the Compact of Free Association with the United States. Among its fiscal recommendations, the IMF suggests replacing the Universal Basic Income scheme at the earliest feasible opportunity. Audited government accounts are published by the Office of the Auditor-General.

Official sources: IMF: Republic of the Marshall Islands, 2025 Article IV consultation (press release) · Office of the Auditor-General

What is the Marshall Islands' debt to GDP ratio?

According to the IMF, general government gross debt in the Marshall Islands was 8.8% of GDP in 2025. That is the lowest since at least 2005. East Asia & Pacific median: 45.0% of GDP; the Marshall Islands is 25th highest of 29. Worldwide: 178th of 185.

Does the Marshall Islands' government borrow more than it raises?

4.8% of GDP: that is general government net lending or borrowing in the Marshall Islands for 2025, according to the IMF. That is the highest since at least 2005. Across East Asia & Pacific the middle value was -1.7% of GDP, and the Marshall Islands placed 3rd highest of 29. Of 188 countries with 2025 data, 6th highest.

How much does the Marshall Islands' government take in?

The latest figure from the IMF, for 2025, is 79.8% of GDP. That is the highest since at least 2005. It is 3rd highest of 29 in East Asia & Pacific, where the median is 33.6% of GDP. World rank, highest first: 3rd of 187.

How big is the Marshall Islands' government spending as a share of GDP?

In 2025, general government spending in the Marshall Islands was 75.1% of GDP, according to the IMF. Its high point since 2005 was 2005, at 85.3% of GDP; its low point was 2014, at 49.2% of GDP. Across East Asia & Pacific the middle value was 32.9% of GDP, and the Marshall Islands placed 5th highest of 29. World rank, highest first: 6th of 186.

What is the Marshall Islands' tax to GDP ratio?

The latest figure from the IMF, for 2020, is 17.2% of GDP. Its high point since 2008 was 2008, at 19.3% of GDP; its low point was 2014, at 15.9% of GDP. Across East Asia & Pacific the middle value was 14.1% of GDP, and the Marshall Islands placed 10th highest of 23. Worldwide: 59th of 136.