A recent study revealed the most financially healthy countries, focusing on key metrics such as GDP and debt per capita and average yearly salary.
Key findings:
- Leading the list of the most financially healthy countries, San Marino has the ability to cover its national debt in just 2.7 months.
- 4 out of 10 most financially healthy countries are in Europe.
A recent study by Banking Methods company analyzed various data to determine the most financially healthy countries, focusing on key metrics such as GDP per capita, debt per capita, and average yearly salary.
Firstly, the countries with the highest GDP were determined. The debt per capita and average yearly salary were then determined to calculate the time required for citizens to cover the national debt, ranking the countries accordingly.
Leading the list of the most financially healthy countries, San Marino has the ability to cover its national debt in just 2.7 months.
With the lowest debt per capita on the list at $10,604 and a high average yearly salary of $47,120, San Marino demonstrates strong financial health.
In second place, Israel can cover its national debt in approximately 3.5 months. The debt per capita is $16,019, while the average yearly salary is $55,140. Israel’s high salary levels contribute significantly to its financial stability.
Finland ranks third, being able to cover its national debt in 0.71 years (approximately 8.52 months). Finland’s strong average income of $54,930 ensures its position among the most financially healthy countries despite having higher debt levels.
Austria takes the fourth spot, with residents needing about 9.48 months to pay off their national debt. The average yearly salary is $55,720, while the debt per capita stands at $44,168, only 79% of the salary.
Holding the fifth position, Ireland has a debt coverage time of 9.6 months. Ireland’s high-income levels play an important role in its position. The debt per capita is $63,414, and the average yearly salary is $79,730, the highest among the top 10.
New Zealand ranks sixth, needing approximately 9.72 months to cover its national debt. With a debt per capita of $39,924 and an average yearly salary of $49,090, New Zealand shows strong financial stability.
Japan comes in seventh, with residents requiring about 9.84 months to cover the national debt. The debt per capita is $34,832, and the average yearly salary is $42,440.
Despite having a lower average salary of $42,440, Japan’s not big external debt ensures it remains a financially healthy country.
In eighth place, Brunei is able to pay off its national debt in about 10.44 months. Brunei’s financial health is manageable, even with the lowest average yearly salary of $31,410.
The Bahamas ranks ninth, with residents taking about 11.04 months to cover their national debt.
Even with the lowest GDP per capita in the ranking, the Bahamas shows its ability to handle its finances with a debt per capita of $44,200 and an average yearly salary of $48,124.
Qatar rounds off the list, with residents needing about a year to cover the national debt. The country manages the external debt even with the highest debt per capita on the list at $70,471, and the average yearly salary is $70,120.
