23.6 C
Pakistan
Friday, September 20, 2024

The United States’ national debt has exceeded 33 trillion dollars.

The United States’ national debt has exceeded 33 trillion dollars.

According to Tass, the US Treasury Department recently released information stating that the national debt of the United States has surpassed 33 trillion dollars, reaching a record-breaking figure. Two months ago, the debt had exceeded 32 trillion dollars and has continued to increase since then. The previous debt ceiling for the US government was set at 31.4 trillion dollars, but in January of this year, the government exceeded it. On June 3, after the government passed the national debt ceiling, President Joe Biden’s administration signed a bill, previously approved by Congress, to increase the national debt ceiling. This measure was approved by the Senate on June 1 to avoid an economic crisis and collapse.

Due to the COVID-19 pandemic, the US government resorted to excessive borrowing to adjust the country’s damaged economy. Since the beginning of 2020, the outstanding debt of the United States has increased by about 8 billion dollars, with a surge of 1 trillion dollars in just eight months. Federal government borrowing, initiated under former President Donald Trump and continued during the early administration of current President Joe Biden, transpired during a period of low-interest rates. However, at present, with inflation at its highest level, the Federal Reserve has increased interest rates sharply to deal with rising prices, leading to even higher borrowing costs.

The American Committee for a Responsible Budget has estimated that Joe Biden’s policies could increase the budget deficit by $4.8 trillion between 2021 and 2031. The Biden administration will likely face the challenge of raising the national debt ceiling again in the near future due to the increase in the government’s debt.

Related Articles

LEAVE A REPLY

Please enter your comment!
Please enter your name here

Stay Connected

0FansLike
3,912FollowersFollow
0SubscribersSubscribe

Latest Articles