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U.S. debt burden to rise to 185% of GDP in 2052, CBO projects

U.S. debt burden to rise to 185% of GDP in 2052, CBO projects

Reuters · 07/27/2022 14:01
U.S. debt burden to rise to 185% of GDP in 2052, CBO projects

- The U.S. federal debt burden will reach 185% of economic output in 2052, the Congressional Budget Office projected on Wednesday, an improvement over last year's long-term estimate but a projection driven by exponentially higher interest costs.

The CBO in 2021 had projected federal debt in 2051 at 202% of U.S. GDP output, with this year's improvement due to a strong recovery from the COVID-19 pandemic. The estimates assume current tax and spending laws remain in place over the 30 years.

The CBO estimated U.S. interest outlays as a percentage of GDP to rise to 7.2% in 2052 versus 1.6% this year.


(Reporting by David Lawder
Editing by Chris Reese)

((David.Lawder@tr.com; +1 202 354 5854; Reuters Messaging: david.lawder.thomsonreuters.com@reuters.))