Key facts
- Luxembourg has the highest corporate debt-to-GDP ratio in the EU at 251.1%.
- Denmark and Sweden also exceed 100% of GDP in corporate debt.
- The European Commission's warning threshold for corporate debt is 85% of GDP.
- Italy and Greece have corporate debt ratios below the EU average.
- The EU average corporate debt is 70.1% of GDP.
New Eurostat data reveals significant variations in corporate debt across European Union member states, with several smaller financial hubs reporting higher debt-to-GDP ratios than larger economies. Seven countries have corporate debt exceeding the European Commission's warning threshold of 85% of GDP.
Luxembourg leads the ranking with a corporate debt of 251.1% of GDP, a figure largely attributed to its role as a global centre for international corporate finance and holding companies. Denmark and Sweden follow with 115.4% and 108.6% respectively, with Danish debt driven by large international companies accessing global bond markets and Swedish debt concentrated in commercial property. The Netherlands and Cyprus also show high ratios, significantly influenced by multinational companies and financing vehicles that channel international investment.
In contrast, France's elevated corporate debt of 91.6% is viewed as a genuine macroeconomic concern, with French companies identified as highly indebted within the eurozone. Belgium's ratio of 90.6% is largely due to intra-group financing by multinational companies. Notably, Italy and Greece, despite high public debt burdens, have corporate debt levels well below the EU average, at 55.1% and 58.6% of GDP respectively.
The overall EU average corporate debt stood at 70.1% of GDP at the end of 2025, with the eurozone average slightly higher at 71.6%. These figures are near a two-decade low, reflecting strong nominal economic growth that has outpaced corporate borrowing increases. The 85% threshold is part of the EU's Macroeconomic Imbalance Procedure, designed to identify potentially excessive private-sector borrowing.