US national debt hits record high of over $30 trillion: US Treasury
The national debt of the United States has reached yet another milestone, according to Treasury Department data released on Tuesday.
According to figures issued by the US Department of the Treasury, the national debt of the United States has hit a record high of $30.012 trillion, owing to a huge increase in government loans due to the COVID-19 pandemic and higher expenditures of sustaining health care.
When compared to late January 2020, when COVID-19 had not yet affected the US economy, the debt has increased by over $7 trillion.
As a result of the trillions spent fighting the virus, financial experts quoted by US media stated the new maximum was reached many years sooner than the country's government projected.
According to the New York Times, recent costs have included increasing unemployment benefit amounts, more support for small firms, and incentive payments.
The record US national debt, according to most experts, is not concerning because the country's economy continues to thrive despite the COVID-19 pandemic, and interest rates remain low.
Concerns about the budget are stalling talks on President Biden's $2 trillion safety net and climate spending program. Senator Joe Manchin III of West Virginia, a Democrat whose vote is crucial in advancing Biden's bill, said he couldn't support it because of the "staggering debt".
However, the lingering pandemic has hampered the economy's recovery, generating inflation rates that haven't been seen since the early 1980s and heightening the threat of higher interest rates, which would add to America's fiscal burden.