US Debt Tops $40 Trillion for First Time

The federal government’s debt has more than doubled in less than a decade. In January 2017, when Donald Trump first took office, it stood at $19.95 trillion.

About one-third of the subsequent increase came from massive borrowing during the coronavirus pandemic under the Trump and Biden administrations.

The Treasury Department said Wednesday that total public debt had reached $40.047 trillion on Tuesday. Budget watchdog groups are warning of an unsustainable trend that they say will require tax increases, spending cuts or a combination of both.

During Biden’s four years in office, the debt increased by $8.4 trillion. During Trump’s first term, it rose by $7.8 trillion, and since his return to office in January 2025, it has increased by another $3.8 trillion.

Debt service costs are also rising. The United States spends approximately $1.1 trillion annually on interest. In the first 10 months of fiscal year 2026, interest costs became the second-largest item in the federal budget after Social Security.

On Wednesday, Trump again called for lower interest rates.

(Reuters, bak)