“…The positive impact of GDP on debt is evident -if the economy thrives and grows, corporate pro its are rising, creditors are willing to provide with loans and thus the level of debt could grow. Positive impacts were con irmed by Cekrezi (2013), Mallisa and Kusuma (2017) in Malaysia, Salehi and Manesh (2012). On the other hand, as mentioned in pro itability part above, if pro its grow, so do retained pro its that cause negative impact as found by e.g., Bastos, Nakamura, and Basso (2009), Bokpin (2009), Cheng and Shiu (2007), Hanousek and Shamshur (2011), Mallisa and Kusuma (2017) in Indonesia.…”