Total U.S. Government Debt Hits $25 Trillion
The world is really the same except for one thing: the rise of private sectors. Yes, unless you have a strong private sector, you cannot readily rise as a nation. This is the state of the United States: “The US Treasury seeks to borrow a record $3 trillion this quarter. The money is being used in large part to subsidize economic rescue efforts in the wake of the coronavirus pandemic. Total U.S. government debt now is near $25 trillion, with the current fiscal year’s deficit running at $744 billion.”
Massive stimulus to support the U.S. economy through the coronavirus crisis will cause the Treasury to borrow a record $3 trillion this quarter. The department on Monday announced the total, which is actually $2.999 trillion. “The increase in privately-held net marketable borrowing is primarily driven by the impact of the COVID-19 outbreak, including expenditures from new legislation to assist individuals and businesses, changes to tax receipts including the deferral of individual and business taxes from April – June until July, and an increase in the assumed end-of-June Treasury cash balance,” the department said in a statement.
Simply. The U.S. debt is now more than its GDP. Yet, it is the same America that is seen as the strongest nation economically. Of course, S&P will send Nigeria to Ajegunle junkyard if Nigeria’s debt hits close to $500 billion. But can you blame the IMF, World Bank and S&P who preach the message of “thou shalt not rake in more debts in Abuja''? Not really: “Animal Farm”. With Amazon, Intel, Google, etc, few will ever believe that Amazon will collapse before them, and because they remain dominant, Washington DC is insured.
