Finance
Annual Economic Report
Basel Sounds the Alarm: the AI Boom Is Built on Debt
In its 2026 Annual Economic Report, released at its Basel annual meeting, the BIS warns that the AI boom has become a major, debt-financed driver of US growth whose reversal could hurt the whole economy. It also flags a new fiscal-financial stability nexus around record public debt. For Luxembourg, the world's second-largest fund domicile, the warning lands close to home.