US national debt passes $40tn after doubling in a decade

The US national debt has surpassed $40 trillion, more than doubling in just a decade, according to Treasury figures. The debt reached this milestone on August 18, 2023, with the Congressional Budget Office projecting the total to climb to around $64 trillion by 2036. The rise in national debt is attributed to years of heavy spending under both the Trump and Biden administrations, combined with higher interest payments that have steadily increased the total.

In 2016, the national debt was just under $20 trillion. The Federal Reserve's minutes from their last meeting showed concerns about inflation deepening among policymakers, with some suggesting interest rates may need to be increased further to curb price rises. The Fed is currently holding its benchmark interest rate in the 3.50%-3.75% range, and it is expected to keep rates steady at its September meeting.