U.S. National Debt Reaches New Record High at $35.46 Trillion

The U.S. government's debt is hitting unprecedented levels as the new fiscal year kicks off.

According to the Treasury Department’s “Debt to the Penny” database, the national debt surged from approximately $35.465 trillion on September 30 to about $35.669 trillion on October 1, marking an increase of around $204.27 billion within just 24 hours.

Additionally, the Treasury reports that the budget deficit reached $1.897 trillion by the end of August, a month prior to the fiscal year’s conclusion. This represents a 24% rise from August 2023, when the deficit stood at $1.525 trillion.

A recent analysis from the Congressional Budget Office (CBO) attributes the expanding deficit to several factors, including rising expenses for Social Security, Medicare, and the Department of Defense, as well as significantly elevated interest payments on public debt driven by high interest rates.

The report highlights that spending on Social Security benefits rose by $98 billion (or 8%), mainly due to increased average benefit payments and a larger number of beneficiaries. Medicare spending also increased by $76 billion (or 10%) as a result of higher enrollment and payment rates.

Meanwhile, the Department of Defense’s expenditures were up by $52 billion (or 7%) compared to the same period last year, with significant rises noted in operations, maintenance, and research and development.

Author

Alexander Stefanov

Reporter at CoinsPress

Alex is an experienced finance journalist and a cryptocurrency and blockchain enthusiast. With over five years of experience covering the industry, he deeply understands the complex and constantly evolving world of digital assets. His insightful and thought-provoking articles provide readers with a clear picture of the latest developments and trends in the market. His passionate approach allows him to break down complex ideas into accessible and insightful content. Follow up on his content to be up to date with the most important trends and topics - stay ahead of the curve with CoinsPress.