US expects increase in country’s national debt above $34 trillion

America’s gross national debt exceeded $33 trillion for the first time, providing a stark reminder of the country’s shaky fiscal trajectory at a moment when Washington faces the prospect of a government shutdown this month amid another fight over federal spending, Report informs referring to The New York Times.

As a result, the national debt might reach a new record of $34 trillion in early December.

The Treasury Department noted the milestone in its daily report detailing the nation’s balance sheet. It came as Congress appeared to be faltering in its efforts to fund the government ahead of a September 30 deadline. Unless Congress can pass a dozen appropriations bills or agree to a short-term extension of federal funding at existing levels, the United States will face its first government shutdown since 2019.

A Treasury Department report last week showed that the deficit - the gap between what the United States spends and what it collects through taxes and other revenue - was $1.5 trillion for the first 11 months of the fiscal year, a 61 percent increase from the same period a year ago.