The United States' national debt has surpassed $33 trillion for the first time.
As the US Congress attempts to pass another temporary budget at the end of September to prevent a government shutdown when the 2023 fiscal year ends, the country's debt has reached historic levels.
Michael Peterson, CEO of the Peter G. Peterson Foundation, which works on addressing America's long-term fiscal challenges, stated that while policymakers are caught up in short-term fiscal crises, the US national debt continues to increase by trillions of dollars.
Peterson explained that after the debt limit "showdown" in June, where the $32 trillion debt limit was breached, policymakers want the focus to shift from partisan battles that don't address the real fiscal issues faced by Americans to addressing the actual problem, which is the debt itself.
On January 19th, the US had reached its $31.4 trillion debt limit, and the US Treasury had started taking extraordinary measures to avoid exceeding the limit and a possible default.
After prolonged negotiations regarding the debt limit, an agreement was reached in Congress, and President Joe Biden signed a bill in June to increase the debt limit, preventing the country from defaulting.
