One signal

Global debt is set to keep rising as governments borrow heavily and businesses invest in AI infrastructure, Institute of International Finance chief Tim Adams told Bloomberg. The AI build-out is becoming part of a much larger economic story, not just a race for faster chips.

Adams made the remarks in an interview on the sidelines of the DBS Asia Future Forward Conference. His comments point to investment as one pressure in a broader debt picture, not a claim that AI alone is driving borrowing. The question now is whether this spending will deliver returns substantial enough to justify the financing. Are companies and governments building useful long-term capacity, or betting too heavily on an AI boom?

Discuss: Are companies and governments building useful long-term AI capacity, or betting too heavily on an AI boom?

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