US debt stands at a staggering $34 trillion

New Delhi: The US’ mounting debt structure currently stands at a staggering $34 trillion, according to usdebtclock, Cryptoslate reported.

An escalating annualized interest accompanies this steep climb on the federal debt that exceeds $1 trillion and is projected to break through the $3 trillion threshold by Q4 2030, according to E J Antoni, an economist at Heritage & Comm4Prosperity.

Further compounding the issue, the US grapples with a structural deficit. As indicated by analyst Joe Consorti, the federal deficit is worrying at -6.460 per cent of the GDP, Cryptoslate reported.

This signifies that government expenditure significantly surpasses its revenue. While the deficit witnessed during Covid-19 induced peak at -15 per cent, it has since lowered to -6.4 per cent, offering a glimpse of the government’s financial health.

The US national debt has seen a startling increase of $6.7 trillion in just three years, closing in on a staggering $34 trillion, up from $27.3 trillion in December 2020, Cryptoslate reported.

This surge raises critical concerns about the nation’s fiscal health and economic sustainability. According to Bank of America (BofA) research, the debt to GDP ratio is approximately 100 per cent, which parallels the unprecedented levels seen during World War 2.

IANS