The United States\u2019 national debt has officially surpassed US$39\ntrillion, or Rp661.83 quadrillion (US$1 = Rp16,970), this week.<\/p>\n
The figure published by the Bureau of the Fiscal Service underscores\nthe immense pressure on the current administration\u2019s budget priorities,\nfrom tax cuts and increased defence spending to handling the debt\nitself.<\/p>\n
This record debt milestone coincides with public concerns over the\nrising costs of the ongoing armed conflict between the United States,\nIsrael, and Iran, which shows no signs of abating.<\/p>\n
Financial Burden from the Iran War and Sectoral Impacts<\/p>\n
The war in Iran, now in its twentieth day, is placing significant\nadditional strain on the nation\u2019s finances. US National Economic Council\nDirector Kevin Hassett stated that the government has realised\nexpenditures of US$12 billion to fund the conflict.<\/p>\n
This amount is expected to continue growing following confirmation\nfrom Defence Secretary Pete Hegseth that the Pentagon has requested\nadditional funding of US$200 billion from the White House, though the\nfigure could still fluctuate dynamically.<\/p>\n
Research from TIME indicates that the US$12 billion already spent is\ntheoretically equivalent to the healthcare costs for a population of 1.3\nbillion.<\/p>\n
This geopolitical escalation is also directly impacting domestic\nconsumer purchasing power due to disruptions in oil and gas distribution\nroutes in the Strait of Hormuz. Crude oil prices have breached US$100\nper barrel, directly triggering fuel price hikes in the US.<\/p>\n
This surge in energy costs is forcing commercial airlines, such as\nQantas, to promptly adjust and raise airfare prices. Additionally, the\ndisrupted global supply chain is expected to trigger fertiliser price\nincreases, which will ultimately lead to swelling bills for basic\nhousehold necessities in the coming months.<\/p>\n
Campaign Promises, Tariffs, and Budget Deficit Reality<\/p>\n
President Donald Trump has repeatedly voiced his promise to curb the\nnational debt since his first presidential campaign in 2015. Before his\nfirst term, he even claimed he could pay off the entire debt, then\naround US$19 trillion, within eight years through renegotiating global\ntrade deals.<\/p>\n
Furthermore, his economic policy concept includes implementing trade\ntariffs on partner countries to bolster state coffers and pay down the\ndebt.<\/p>\n
On Independence Day last year, the government also enacted\nlegislation that the White House claimed would reduce the debt to 94% of\nGross Domestic Product.<\/p>\n
However, the strategic plan to use tariff revenues faces crucial\nhurdles after the Supreme Court ruled in February that most of those\ntariff policies violate the law, a decision deemed highly disappointing\nby the President.<\/p>\n
Since taking office last year, the national debt has actually\ncontinued to climb by around US$2.8 trillion. Nevertheless, White House\nSpokesperson Kush Desai emphasised that the federal deficit fell in\nfiscal year 2025 to US$1.78 trillion, down US$41 billion from the\nprevious year.<\/p>\n
This decline was driven by increased individual tax receipts,\nbureaucratic streamlining that reduced the number of federal employees\nto the lowest level since 1966, and firm action against fraud in social\nwelfare programmes.<\/p>\n
Details and Composition of National Debt<\/p>\n
According to the debt update report from the Joint Economic\nCommittee, the US gross national debt reached US$38.86 trillion at the\nbeginning of March, which has since continued to breach the US$39\ntrillion mark this week.<\/p>\n
The structure of this debt is broadly divided into two categories:\ndebt held by the public at US$31.27 trillion and intragovernmental debt\nat US$7.59 trillion.<\/p>\n
US public debt instruments traded on the market are largely dominated\nby notes with a 50.55% share, nominally valued at US$15.76 trillion.\nShort-term bills account for 21.83% or US$6.81 trillion, while long-term\nbonds hold a 16.96% share valued at US$5.29 trillion.<\/p>\n
The remaining 10.67% is allocated to other financing securities.\nDemand for US debt instruments remains very strong in the market,\nreflected in the bid-to-cover ratio for February 2026 at 2.89 for 4-week\nbills, 2.39 for 10-year notes, and 2.75 for 30-year bonds.<\/p>\n
From the maturity profile perspective, about 33% of this tradable\ndebt will reach maturity within the next twelve months, with the overall\naverage debt maturity around 70 months.<\/p>\n
Debt Accumulation Rate and Rising Interest Burden<\/p>\n
The speed at which the US government is accumulating debt shows a\nconstant acceleration. Referring to the position as of 17 March 2026,\nthe total national debt has reached US$39.01 trillion.<\/p>\n
This figure records a massive increase of US$2.8 trillion compared to\nthe same period a year earlier, when the total debt was still at\nUS$36.21 trillion.<\/p>\n
This annual rise stems from a surge in public debt by US$2.45\ntrillion and additional intragovernmental debt of US$350.69 billion.<\/p>\n
The debt addition rate is moving very quickly. Based on data from the\npast year, the average daily debt increase is about US$7.67 billion.<\/p>\n
If broken down further,<\/p>", "url": "https:\/\/jawawa.id\/newsitem\/us-debt-now-surpasses-rp661-000-trillion-iran-war-causes-losses-1774180276", "image": "" }, "sponsor": "Okusi Associates", "sponsor_url": "https:\/\/okusiassociates.com" }