The U.S. national debt exceeded $39 trillion for the first time this week, marking a new historic milestone as persistent budget deficits continue to increase federal borrowing. According to data from the Treasury Department, the gross national debt reached $39,016,762,910,245.14 as of March 17, 2026.
This milestone follows the debt surpassing $38 trillion just five months earlier, in October 2025, and $37 trillion in August 2025. The rapid growth over the past decade has been driven largely by increased federal spending on Social Security and Medicare, as well as rising interest payments on the debt fueled by higher interest rates.
Interest Costs and Budget Deficits Projected to Grow
Michael A. Peterson, CEO of the nonpartisan Peter G. Peterson Foundation, highlighted that interest payments are now the fastest-growing federal budget expense. He noted that servicing the debt is projected to cost nearly $100 trillion over the next 30 years.
The Congressional Budget Office (CBO) expects annual budget deficits to increase from approximately $1.9 trillion today to $3.1 trillion by 2036. This growth is forecasted to push the national debt to $63 trillion within the next decade. Debt held by the public as a percentage of gross domestic product (GDP) is projected to rise from about 100% in 2026 to 120% by 2036, surpassing the post-World War II peak of 106% in 1946.
Fiscal Outlook and Political Implications
The 2026 fiscal year budget deficit exceeded $1 trillion in its first five months despite increased tax revenues, including those from tariffs, some of which may be subject to refunds mandated by the Supreme Court. This could widen the deficit further if revenue is not replaced.
Experts warn that the rapid growth of the national debt presents significant long-term financial challenges. Peterson urged that addressing debt sustainability should be a critical focus in this year’s election debates, emphasizing the need for comprehensive discussions on potential solutions.
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