Current US National Debt (June 2025)
The US national debt stands at approximately $36.2 trillion as of June 2025.
This equates to about 120% of US GDP, a level not seen since World War II.
The debt has increased by about $1.56 trillion over the past year, averaging a growth rate of $4.27 billion per day.
Key Drivers
Persistent annual deficits: The government spends more than it collects in revenue every year, adding to the debt.
Major factors include:
Aging population (higher Social Security and Medicare costs)
Rising healthcare expenses
Interest payments on existing debt (projected to hit $1 trillion annually soon)
Tax revenues insufficient to cover spending commitments.
Debt Composition
Debt held by the public: Treasury securities owned by individuals, corporations, foreign governments, and the Federal Reserve.
Intragovernmental debt: Money the government owes to itself, mainly through trust funds like Social Security.
Outlook
The debt-to-GDP ratio is projected to keep rising if current policies remain unchanged, with interest costs and mandatory spending outpacing revenue growth.
If trends continue, the national debt could reach $37 trillion by October 2025.
Impact
The US now spends more on interest payments than on Medicare or defense.
High and rising debt levels raise concerns about fiscal sustainability and future economic stability.