As of December 15, 2015, the U.S. is$18.8 trillionin debt.
Who owns the U.S. debt?
There are two basic categories ofdebtowners: 1)the public, which includes foreign investors and domestic investors and, 2)federal accounts, also known as "intragovernmental holdings." Each category is explained below.
Debt Held by the Public: Foreign Investors
Thirty-four percent of the U.S. debt is held internationally by foreign investors (i.e. foreign governments, foreign institutions, andindividual people in foreign countries) who buy our Treasury bonds as investments. The graph below ranks foreign investors' holdings by country.
Debt Held by the Public: Domestic Investors
Public debt is also held domestically. Domestic private investors - which includes regular American citizens as well as institutions like private banks - own 15% of the national debt.
The U.S. Federal Reserve Bank buys and sells Treasury bonds as part of its work to control the money supply and set interest rates in the U.S. economy, so they hold some of the debt (13%).
Finally, U.S. state and local governments have also lent money to the federal government, making them owners of 13% of the national debt.
Debt Held by Federal Accounts
Debtheld by federal accounts is not considered public debt - it is the amount of money that the Treasury has borrowed from itself. That may sound funny, but it means that the Treasury borrows surplus money from onetrust fundand gives it to another trust fund. For example, the Treasury might borrow money fromSocial Securityto finance current government spending in another area. At a later date, the government must pay that borrowed money back. Federal accounts currently hold 28% of the national debt.
(Note: The Federal Reserve is not counted as "debt held by federal accounts" because the Federal Reserve is considered independent of the federal government).
Discover more about the federal debt:
FAQs
The $34 trillion gross federal debt equals debt held by the public plus debt held by federal trust funds and other government accounts. In very basic terms, this can be thought of as debt that the government owes to others plus debt that it owes to itself. Learn more about different ways to measure our national debt.
What is the current U.S. national debt? ›
In February 2024, the total federal government debt grew to $34.4 trillion after having grown by approximately $1 trillion in both of two separate 100-day periods since the previous June. The annualized cost of servicing this debt was $726 billion in July 2023, which accounted for 14% of the total federal spending.
How much does the US owe China? ›
US Treasurys Owned by China, in USD Billions
$797.7 billion of the total $8,023.7 billion U.S. national debt.
What is the U.S. national debt in 2024? ›
U.S. publicly held debt 2013-2024
In March 2024, the public debt of the United States was around 34.59 trillion U.S. dollars, almost two trillion more than in July when it was around 32.6 trillion U.S. dollars.
Which country has the highest debt? ›
At the top is Japan, whose national debt has remained above 100% of its GDP for two decades, reaching 255% in 2023.
Who holds the most US debt? ›
Nearly half of all US foreign-owned debt comes from five countries. All values are adjusted to 2023 dollars. As of January 2023, the five countries owning the most US debt are Japan ($1.1 trillion), China ($859 billion), the United Kingdom ($668 billion), Belgium ($331 billion), and Luxembourg ($318 billion).
Who is national debt owed to? ›
There are two kinds of national debt: intragovernmental and public. Intragovernmental is debt held by the Federal Reserve and Social Security and other government agencies. Public debt is held by the public: individual investors, institutions, foreign governments.
Why is the US in so much debt? ›
One of the main culprits is consistently overspending. When the federal government spends more than its budget, it creates a deficit. In the fiscal year of 2023, it spent about $381 billion more than it collected in revenues. To pay that deficit, the government borrows money.
What country owns most of the United States? ›
Which countries own the most land in the U.S.?
- CANADA. 31%
- Other. 28%
- NETHERLANDS. 12%
- ITALY. 7%
- UNITED KINGDOM. 6%
- GERMANY. 6%
- PORTUGAL. 3.6%
- FRANCE. 3.2%
A sizeable sell-off of Treasury securities by China would almost certainly lead to an appreciation of China's currency and depreciation of the dollar. This is more likely to help the United States than to hurt us, contrary to the claims of many observers.
According to the Bank of Russia's estimate, external debt of the Russian Federation as of March 31, 2024 totaled $304.0 billion, having decreased by $12.8 billion, or by 4.1%, since the end of 2023.
Who owns the majority of the US debt? ›
The major international owners of US debt include Japan ($1.1T), China, UK, Belgium, Switzerland, Cayman Islands and smaller amounts from the rest of the world. After the recent weak treasury auction, US government officials warned that they are seeing waning demand from international buyers.
How can the US get out of debt? ›
Maintaining interest rates at low levels can help stimulate the economy, generate tax revenue, and, ultimately, reduce the national debt. Lower interest rates make it easier for individuals and businesses to borrow money for goods and services, which creates jobs and increases tax revenues.
What country is 1 in debt? ›
Japan has the highest percentage of national debt in the world at 259.43% of its annual GDP.
Which country has the worst national debt? ›
List of countries by debt
| Country or territory | External debt (USD) |
|---|
| Per capita | % of GDP |
|---|
| Hong Kong | 248,153 | 504.10 |
| Spain | 34,920 | 111.84 |
| Brazil | 6,925 | 71.59 |
78 more rowsChina: National debt from 2019 to 2029 (in billion U.S. dollars)
| Characteristic | National debt in billion U.S. dollars |
|---|
| 2022 | 12,797.79 |
| 2021 | 11,358.74 |
| 2020 | 9,931.52 |
| 2019 | 8,261.98 |
7 more rowsApr 23, 2024
The average debt an American owes is $104,215 across mortgage loans, home equity lines of credit, auto loans, credit card debt, student loan debt, and other debts like personal loans. Data from Experian breaks down the average debt a consumer holds based on type, age, credit score, and state.
How much national debt does Russia have? ›
Russia National Government Debt reached 281.6 USD bn in Feb 2024, compared with 287.8 USD bn in the previous month. Russia National Government Debt data is updated monthly, available from May 2009 to Feb 2024. The data reached an all-time high of 384.2 USD bn in Jun 2022 and a record low of 86.1 USD bn in May 2009.
When was the last time the United States was debt free? ›
By January of 1835, for the first and only time, all of the government's interest-bearing debt was paid off. Congress distributed the surplus to the states (many of which were heavily in debt). The Jackson administration ended with the country almost completely out of debt!
