Overview

• U.S. interest payments climbed to $794 billion in 2025 and are projected to exceed $1 trillion annually, marking a record budget strain.
• Federal debt has surged from $18.2 trillion in 2015 to $36.6 trillion today, driven by aggressive tax and spending policies under President Trump.
• U.S. debt-to-GDP ratio now tops 120%, and the CBO projects another $3 trillion in borrowings by 2034 without fiscal reforms.
• Major institutions—including Goldman Sachs, DWS, Unicredit and KfW—report eroding confidence in the U.S. fiscal trajectory.
• Economists warn that further delays in spending adjustments could precipitate abrupt losses of market trust and stoke inflationary pressures.