US public debt reached a record $ 22 trillion

The US public debt has reached a record level of $ 22 trillion and continues to grow. This follows from the annual report published by the American Ministry of Finance .

Since Donald Trump became the president of the country in early 2017, the public debt increased by $ 2.06 trillion from 19.95 trillion, AP reports. One of the main factors was the reduction in taxes in December 2017 and the activities of the Congress in 2018, aimed at increasing military expenses and expenses for national needs.

The Budgetary Directorate of the Congress predicts that in the 2019 financial year the deficit will be $ 897 billion, which is 15.1% more than 779 billion dollars more than 779 billion imbalance.

In the coming years, according to experts, the deficit will grow, and from 2022 the annual deficit will exceed one trillion dollars and will not drop below this level until 2029. Basically, growth will occur due to an increase in the costs of financing social programs and Medicare, since the generation of the Baby-Buma of 1946-1960 continues to retire.

The Trump administration claims that tax reduction will ultimately pay off by accelerating economic growth. However, many economists dispute such a forecast.

Despite the growth of public debt, many experts believe that the risks remain insignificant, and indicate current interest rates that remain low by historical standards.

Nevertheless, some economists warn that the constantly growing public debt creates significant risks for the government, since it may complicate the response to the financial crisis by reducing taxes or increasing expenses.

The total US public debt in 2018 was 78% of GDP, CNN notes with reference to the data of the Congress Budget Department. If there are no changes, by 2028 it will reach a level of 96% of GDP.