#USNationalDebt The US national debt is the total amount of outstanding borrowing by the federal government, accumulated over the nation's history. Here's a breakdown ¹:
- *Current Debt:* As of March 6, 2025, the total federal debt stands at approximately $36.56 trillion, with $29 trillion held by the public and $7.4 trillion in intragovernmental debt.
- *Composition:* The national debt consists of two main components:
- *Debt Held by the Public:* Treasury securities held by investors outside the federal government, including individuals, corporations, and foreign governments.
- *Intragovernmental Debt:* Non-marketable Treasury securities held in accounts of programs administered by the federal government, such as the Social Security Trust Fund.
- *Growth Factors:* The national debt grows due to government spending exceeding revenue, resulting in budget deficits. Factors contributing to this growth include ¹ ²:
- Tax cuts
- Increased government spending
- Economic downturns, such as the COVID-19 pandemic
- Wars and recessions
- *Debt-to-GDP Ratio:* The US debt-to-GDP ratio has been increasing, with debt held by the public projected to rise from 99% of GDP in 2024 to 116% in 2034.
- *Interest Costs:* The annualized cost of servicing the debt was $726 billion in July 2023, accounting for 14% of total federal spending.
The US Treasury updates the national debt daily through the "Debt to the Penny" dataset, providing transparency into the country's financial situation ³.