Asset management companies: US government debt is becoming a growing problem
2025-09-22 10:29:15
Wermuth, an economist and partner at Wermuth Asset Management, said in a report that US government debt was becoming an increasing problem, with the debt-to-GDP ratio already exceeding 120 per cent. Interest rates in the US are still trending downward, but large and rising deficits could mean that debt service could soon spiral out of control. Interest payments have accounted for more government spending than military spending since 2023, meaning the scope for new projects is shrinking, especially stimulus programmes.
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