The Congressional Budget Office (CBO)…[recently] released new ten-year budget and economic projections \u2013 an update from its February baseline \u2013 again confirming that the national debt is on an unsustainable path. According to CBO’s new projections:<\/p>\n\n\n\n
Debt held by the public will reach a new record by the end of Fiscal Year (FY) 2027 \u2013 106.2 percent of GDP \u2013 and rise to 122.4 percent of GDP by the end of 2034.<\/p>\n\n\n\n
The budget deficit will rise to $1.9 trillion (6.7 percent of GDP) in FY 2024 and $2.9 trillion (6.9 percent of GDP) by 2034, totaling $22.1 trillion over the 2025-2034 budget window.<\/p>\n\n\n\n
Interest costs will reach a near-record 3.1 percent of GDP this year \u2013 exceeding defense and Medicare spending \u2013 set a new record next year and grow to 4.1 percent of GDP by FY 2034.<\/p>\n\n\n\n
Under CBO\u2019s latest baseline, federal debt held by the public will grow by $23 trillion through FY 2034, from over $27 trillion today to nearly $51 trillion by the end of 2034. As a share of the economy, debt will rise from 97.3 percent of Gross Domestic Product (GDP) at the end of 2023 to 106.2 percent by 2027 \u2013 surpassing the prior record set just after World War II \u2013 and 122.4 percent of GDP by 2034. Debt in 2034 will be $2.4 trillion and 6.4 percent of GDP higher than projected in February.<\/p>\n\n\n\n
Read it all<\/a>.<\/p> 📈 In its latest budget and economic projections released today, @USCBO<\/a> again confirmed that the national debt is on an unsustainable path:
\u27a4 Debt held by the public will reach a new record by the end of FY 2027, rising to 122.4% of GDP by the end of 2034.
\u27a4 The budget\u2026 pic.twitter.com\/22RnFOTbDh<\/a><\/p>— CRFB.org (@BudgetHawks) June 18, 2024<\/a><\/blockquote>