The US national debt has exceeded $35 trillion for the first time in history, according to the latest Treasury Department figures released on Friday. The milestone marks a sharp increase in borrowing under the Trump administration, with the deficit growing by $1.5 trillion over the past fiscal year alone.
Debt Milestone Amid Economic Policies
The Treasury data shows that the national debt hit $35.1 trillion as of Thursday, up from $33.7 trillion at the start of the fiscal year in October 2025. The $1.5 trillion annual increase reflects the impact of tax cuts, spending programs, and higher interest rates on government borrowing costs.
According to the Treasury, the debt-to-GDP ratio now stands at 120%, a level not seen since the aftermath of World War II. The Congressional Budget Office (CBO) had projected in its June report that the debt would reach $35 trillion by 2027, but the actual figure has arrived earlier than expected.
Political Reactions and Criticisms
Democratic lawmakers and fiscal watchdogs have criticized the administration's handling of the national debt. Senate Majority Leader Chuck Schumer said in a statement, "This is a stunning failure of fiscal responsibility. The president promised to eliminate the national debt in eight years, but instead he has added more than $5 trillion to it."
White House Press Secretary Sarah Huckabee Sanders defended the record, arguing that the debt increase was necessary to stimulate economic growth. "The president's tax cuts have unleashed the American economy, and the debt is a manageable part of our long-term strategy," she said during a press briefing.
Impact on Future Borrowing and Interest Costs
The rising debt has pushed up interest payments on the federal debt, which now exceed $1 trillion annually for the first time, according to Treasury data. The higher borrowing costs could crowd out spending on other priorities such as defense, infrastructure, and social programs.
Moody's Analytics chief economist Mark Zandi warned that the debt trajectory is unsustainable. "If we don't see a credible plan to reduce deficits over the next decade, the risk of a fiscal crisis increases significantly," he said. "The Treasury is already paying more to service the debt, and that will only get worse."
The national debt has more than doubled since 2015, when it stood at $18.2 trillion. The Trump administration's tax cuts of 2017 and the bipartisan spending deals of 2018 and 2019 are widely cited as the primary drivers of the increase, along with the economic stimulus packages enacted during the pandemic.
