Beautiful Virgin Islands

Saturday, Feb 22, 2025

US national debt hits $30 trillion, but it’s not important because the debt is in USD and they can print as much as they want

US national debt hits $30 trillion, but it’s not important because the debt is in USD and they can print as much as they want

US national debt has exceeded $30 trillion far sooner than expected, thanks to Covid-19 pandemic borrowing, the US Treasury revealed

US national debt exceeded $30 trillion for the first time on Tuesday, spurred on by high borrowing during the Covid-19 pandemic, according to data from the US Treasury Department.

Japan and China remain the top foreign creditors, holding $1.3 trillion and $1.08 trillion in US Treasuries respectively, and are owed interest on all the money that has been borrowed. Nearly $8 trillion of the US’ debt is owed to foreign entities, which – aside from Japan and China – also include major creditors like the United Kingdom, Luxembourg, Ireland, Brazil, Canada, France, India, and Belgium, as well as Taiwan and Hong Kong.

A further $6.5 trillion is owed by the US federal government to itself, mostly to Social Security trusts and the Military Retirement fund. Over the course of the pandemic, the Federal Reserve also doubled its balance sheet to $8.9 trillion by aggressively buying trillions of dollars in Treasury bonds and securities.


The shocking number was reached far sooner than anticipated, with US officials and economists failing to predict the Covid-19 pandemic and subsequent response, which inflated government spending, and subsequently, national debt by as much as $7 trillion since the end of 2019.

The US budget deficit totaled $2.77 trillion for fiscal year 2021, falling just short of the previous year’s record-breaking numbers, but still in line with the massive Covid-era spending. For the fiscal year of 2020, the US posted an eye-watering deficit of $3.13 trillion.

The $30 trillion mark “arrived years earlier than previously projected,” according to the New York Times, due to government coronavirus programs which “funded expanded jobless benefits, financial support for small businesses and stimulus payments” – all of which was paid for with borrowed money.

David Kelly, the chief global strategist for JPMorgan Asset Management, told CNN that the debt means the US is “going to be poorer in the long term” and claimed “American taxpayers will be paying for the retirement of the people in China and Japan, who are our creditors.”

Peterson Foundation CEO Michael Peterson, however, explained that the “structural problems we face fiscally existed long before the pandemic” and that Covid-19 merely “exacerbated the problem.”

Newsletter

Related Articles

Beautiful Virgin Islands
0:00
0:00
Close
Good News: Senate Confirms Kash Patel as FBI Director
Officials from the U.S. and Hungary Engage in Talks on Economic Collaboration and Sanctions Strategy
James Bond Franchise Transitions to Amazon MGM Studios
Technology Giants Ramp Up Lobbying Initiatives Against Strict EU Regulations
Alibaba Exceeds Quarterly Projections Fueled by Growth in Cloud and AI
Tequila Sector Faces Surplus Crisis as Agave Prices Dive Sharply
Residents of Flintshire Mobile Home Park Grapple with Maintenance Issues and Uncertain Future
Ronan Keating Criticizes Irish Justice System Following Fatal Crash Involving His Brother
Gordon Ramsay's Lucky Cat Restaurant Faces Unprecedented Theft
Israeli Family Mourns Loss of Peace Advocate Oded Lifschitz as Body Returned from Gaza
Former UK Defense Chief Calls for Enhanced European Support for Ukraine
Pope Francis Admitted to Hospital in Rome Amid Rising Succession Speculation
Senate Republican Leader Mitch McConnell, at the age of 83, Declares His Retirement.
Whistleblower Reveals Whitehall’s Focus on Kabul Animal Airlift Amid Crisis
Politicians Who Deliberately Lie Could Face Removal from Office in Wales
Scottish Labour Faces Challenges Ahead of 2026 Holyrood Elections
Leftwing Activists Less Likely to Work with Political Rivals, Study Finds
Boris Johnson to Host 'An Evening with Boris Johnson' at Edinburgh's Usher Hall
Planned Change in British Citizenship Rules Faces First Legal Challenge
Northumberland Postal Worker Sentenced for Sexual Assaults During Deliveries
British Journalist Missing in Brazil for 11 Days
Tesco Fixes Website Glitch That Disrupted Online Grocery Orders
Amnesty International Critiques UK's Predictive Policing Practices
Burglar Jailed After Falling into Home-Made Trap in Blyth
Sellafield Nuclear Site Exits Special Measures for Physical Security Amid Ongoing Cybersecurity Concerns
Avian Influenza Impact on Seals in Norfolk: Four Deaths Confirmed
First Arrest Under Scotland's Abortion Clinic Buffer Zone Law Amidst International Controversy
Meghan Markle Rebrands Lifestyle Venture as 'As Ever' Ahead of Netflix Series Launch
Inter-Island Ferry Services Between Guernsey and Jersey Set to Expand
Significant Proportion of Cancer Patients in England and Wales Not Receiving Recommended Treatments
Final Consultation Launched for Vyrnwy Frankton Power Line Project
Drug Misuse Deaths in Scotland Rise by 12% in 2023
Failed £100 Million Cocaine Smuggling Operation in the Scottish Highlands
Central Cee Equals MOBO Awards Record; Bashy and Ayra Starr Among Top Honorees
EastEnders: Four Decades of Challenging Social Norms
Jonathan Bailey Channels 'Succession' in Bold Richard II Performance
Northern Ireland's First Astronaut Engages in Rigorous Spacewalk Training
Former Postman Sentenced for Series of Sexual Offences in Northumberland
Record Surge in Anti-Muslim Hate Crimes Across the UK in 2024
Omagh Bombing Inquiry Concludes Commemorative Hearings with Survivor Testimonies
UK Government Introduces 'Ronan's Law' to Combat Online Knife Sales to Minors
Metal Detectorists Unearth 15th-Century Coin Hoard in Scottish Borders
Woman Charged in 1978 Death of Five-Year-Old Girl in South London
Expanding Sinkhole in Godstone, Surrey, Forces Evacuations and Road Closures
Bangor University Announces Plans to Cut 200 Jobs Amid £15 Million Savings Target
British Journalist Charlotte Peet Reported Missing in Brazil
UK Inflation Rises to 3% in January Amid Higher Food Prices and School Fees
Starmer Defends Zelensky Amidst Trump's 'Dictator' Allegation
Zelensky Calls on World Leaders to Back Peace Efforts in Light of Strains with Trump
UK Prime minister, Mr. Keir Starmer, has stated that any peace agreement aimed at ending the conflict in Ukraine "MUST" include a US security guarantee to deter Russian aggression
×