#USNationalDebt As of May 2025, the U.S. national debt exceeds **$36.2 trillion**, with **$29 trillion** (80%) held by the public and **$7.2 trillion** (20%) as intragovernmental debt. The debt-to-GDP ratio is approximately **121%** as of Q1 2025, down from a peak of **133%** in Q3 2020. Interest payments on the debt are significant, reaching **$881 billion** in FY 2023, or about **10.7%** of federal spending, driven by higher interest rates and rising debt levels. The Congressional Budget Office projects the debt could reach **$54 trillion** by 2035 if current trends continue, fueled by an aging population, rising healthcare costs, and structural deficits. The debt ceiling, last set at **$31.38 trillion**, has been a point of contention, with temporary measures used to avoid default. Foreign entities hold about **$7.7 trillion** of the debt, with Japan and China as the largest holders.