Illustration: Sarah Grillo/Axios

Coronavirus infections are rising in emerging countries like Brazil, Russia and India, which are now three of the five countries with the highest number of confirmed cases.

Why it matters: To offset some of the negative economic impact from the pandemic, governments have announced massive fiscal packages and new borrowing that threatens their credit ratings and the sustainability of their budgets, the IMF warned in its latest World Economic Outlook.

What they're saying: “The steep contraction in economic activity and fiscal revenues, along with the sizable fiscal support, has further stretched public finances, with global public debt projected to reach more than 100% of GDP this year,” the fund said.

  • In its base-case scenario, global public debt will reach a record high in 2020 of 101.5% of GDP and 103.2% of GDP in 2021.

What to watch: At its April meeting the IMF recommended coordinated fiscal stimulus, a moratorium on debt payment and debt restructurings, and additional financing and grants for the world's poorest countries.

  • Outside of financing and grants from the IMF and World Bank and a moratorium from official creditors for some countries, none of that has yet materialized.

The bottom line: Unless action is taken, the emerging world could face an escalating virus epidemic with less available capital and a growing pile of debt.

Go deeper: Policymakers eye next round of coronavirus economic relief

Go deeper

Sep 7, 2020 - World

India's coronavirus cases surge to second highest in the world

A health worker collects a swab sample from a girl for coronavirus testing at New Ashok Nagar, in New Delhi, India, in August. Photo: Mohd Zakir/Hindustan Times via Getty Images

India is now second only to the U.S. for coronavirus cases after surpassing Brazil for infections on Monday morning.

By the numbers: India has reported more than 4.2 million COVID-19 infections and Brazil has confirmed over 4.1 million cases, per Johns Hopkins data. However, Brazil has the world's second-highest death toll, with the virus claiming the lives of 126,650 Brazilians.

Pelosi: Trump wants to "crush" ACA with Ginsburg replacement

House Speaker Nancy Pelosi said on ABC's "This Week" that President Trump was rushing to replace the late Supreme Court Justice Ruth Bader Ginsburg because he "wants to crush the Affordable Care Act."

Why it matters: Pelosi wants to steer the conversation around the potential Ginsburg replacement to health care, which polls show is a top issue for voters, especially amid the coronavirus pandemic. The Trump administration has urged the courts to strike down the law, and with it, protections for millions with pre-existing conditions.

Mike Allen, author of AM
Updated 1 hour ago - Politics & Policy

Democrats' Armageddon option

A makeshift memorial outside the Supreme Court yesterday. Photo: Jose Luis Magana/AFP via Getty Images

Furious Democrats are considering total war — profound changes to two branches of government, and even adding stars to the flag — if Republicans jam through a Supreme Court nominee, then lose control of the Senate.

On the table: Adding Supreme Court justices ... eliminating the Senate's 60-vote threshold to end filibusters ... and statehood for D.C. and Puerto Rico. "If he holds a vote in 2020, we pack the court in 2021," Rep. Joe Kennedy III (D-Mass.) tweeted.