US Deficit Reaches a Record High
The US government’s budget deficit has reached a record high of $710.9 billion for the first three months of the fiscal year 2025, a 40% increase from the same period a year ago, according to the US Department of the Treasury’s latest data.
The deficit for December 2024 alone was $86.7 billion, a 33% decrease from the same period last year. The US government’s increasing spending, particularly on defense and healthcare, has contributed to the growing deficit.
The US’s high national debt has raised concerns among economists and financial experts. Fitch Ratings estimates that the US’s total debt, including federal and local government debt, will reach 10.3% of the country’s GDP by 2025, a level that is triple the average of countries with an AA rating.
The US’s increasing reliance on borrowed money has also led to a decline in the value of its assets, such as the US dollar and US Treasury bonds. The country’s central bank, the Federal Reserve, has been printing more money to stimulate the economy, which has led to a surge in the value of cryptocurrencies like Bitcoin.
The article also mentions the Strategic Bitcoin Reserve (SBR) proposed by the US government, which aims to create a reserve of Bitcoin to stabilize the country’s currency and reduce its reliance on foreign currencies.
The author of the article, Elem Chintsky, is a journalist who writes about geopolitical, historical, financial, and cultural topics. He has been working for RT DE since 2017 and currently resides in St. Petersburg, Russia.