On August 19, 2026, the U.S. Treasury officially confirmed that the total national debt of the United States had crossed the $40.05 trillion mark, setting a new historic record. This happened faster than analysts had previously expected: in 2023, the Congressional Budget Office (CBO) had projected that this level would not be reached until fiscal year 2028.

The debt has more than doubled in less than a decade, rising from approximately $19.4–19.95 trillion in January 2017, when Donald Trump first took office. Roughly one-third of this increase was driven by the COVID-19 pandemic in 2020–2021, while the remainder reflects the structural imbalance between government spending and revenues under administrations of both parties.

KEY CURRENT FIGURES

• Per capita debt in the United States: approximately $117,000; approximately $297,000 per household.
• Federal budget deficit: during the first 10 months of fiscal year 2026, it had already exceeded the deficit for all of fiscal year 2025.
• July deficit: $432.3 billion, the largest monthly figure since March 2021, partly due to the reinstatement of tariffs that had been struck down by a court.
• Net interest payments: approaching $1 trillion annually, accounting for almost 14% of all federal spending and exceeding the defense budget.
• $40 trillion: approximately equivalent to the combined GDP of China, Germany, Japan, the United Kingdom, and India.

U.S. DEBT UNDER THE LAST THREE PRESIDENTS

Data from the U.S. Treasury allow the dynamics of national debt to be compared across presidential administrations.

Barack Obama (2009–2017)

Debt increased from approximately $10.6–11.9 trillion to $19.9–20.2 trillion, an increase of roughly $8.3 trillion, or almost 70–74%. This was the largest percentage increase and nearly the largest dollar increase among U.S. presidents of the 21st century.

The main factors were crisis-response measures following the 2008 financial crisis and the slow economic recovery.

Donald Trump, First Term (2017–2021)

Debt increased from $19.95 trillion to $28.4 trillion, an increase of $8.18 trillion, or 40.4%.

A significant portion of this increase occurred during the pandemic year of 2020, when approximately $3.6 trillion was spent on emergency economic support packages, including the CARES Act.

Joe Biden (2021–2025)

Depending on the calculation methodology, national debt increased by approximately $4.7–8.5 trillion, reaching $36.2 trillion by the end of his term.

The discrepancy is explained by different starting points, such as the end of a fiscal year versus the presidential inauguration date, as well as whether debt accumulated during the first budget year, which was largely shaped by the previous administration, is attributed to Biden.

Donald Trump, Second Term (since January 2025)

Debt increased from $36.2 trillion to $40.05 trillion, an increase of almost $3.85 trillion in less than eight months.

The increase has been driven in part by lost revenue from tariffs struck down by the courts and by the new tax-cut package, the One Big Beautiful Bill Act, which the CBO estimates will add another $4.7 trillion to the debt over ten years.

The overall picture is clear: all three recent administrations, despite differing rhetoric on fiscal discipline, substantially increased the national debt, primarily through a combination of tax cuts, rising Social Security and Medicare expenditures associated with an aging population, and emergency economic spending.

COMPARISON WITH THE DEBT OF russia, CHINA AND THE EU

russia has one of the world’s lowest debt-to-GDP ratios, at approximately 17–18% of GDP, or roughly $470–520 billion in absolute terms.

However, russia’s external debt reached a 20-year high in 2026, at approximately $62 billion, while its budget deficit is increasing. The Kremlin finances its war against Ukraine primarily through the National Wealth Fund and domestic borrowing rather than external debt. This keeps the headline debt ratio relatively low but does not reflect the full fiscal burden of the war.

China

China demonstrates how strongly debt assessments depend on the methodology used:

• “Narrow” central government debt: approximately 68.4% of GDP.
• Expanded IMF measure: approximately 126.6% of GDP when local-government debt and financing vehicles for infrastructure projects, including LGFVs, are taken into account.
• Total non-financial-sector debt: approximately 313% of GDP, including government, household and corporate debt.

According to some analysts, this makes China’s overall debt problem even more serious than that of the United States, although the structure of the debt is fundamentally different.

European Union

The combined public debt of the EU’s 27 member states exceeds €15.37 trillion, approximately $16–17 trillion.

The average debt-to-GDP ratio is 81.7% across the EU and 88.9% in the euro area.

The highest debt burdens are recorded in:

• Greece: 143.5% of GDP
• Italy: 138.9%
• France: 117.6%
• Belgium: 109.1%
• Spain: 101.6%

The lowest are recorded in:

• Estonia: 25.2%
• Denmark: 26.8%
• Bulgaria: 28.5%

For comparison, U.S. national debt relative to U.S. GDP, approximately $30 trillion, stands at around 130–135%. This is higher than the EU average and comparable to the most heavily indebted eurozone countries, while remaining significantly higher than China’s debt under the narrow definition and especially than russia’s.

WHAT DOES $40 TRILLION MEAN?

The $40 trillion U.S. national debt is the result of a long-term structural imbalance that has accumulated under administrations of both political parties, accelerated by the pandemic and more recent fiscal decisions.

In the international context, the United States now carries a higher debt burden relative to GDP than China under the narrow definition and especially than russia, while remaining broadly comparable to the most heavily indebted eurozone economies.

The key issue is not simply the absolute size of the debt, but the growing cost of servicing it.

With net interest payments approaching $1 trillion annually, an increasing share of federal resources is being directed toward servicing existing obligations rather than financing defense, infrastructure, social programs, or economic development.

The $40 trillion threshold is therefore more than a symbolic milestone. It is a clear indicator of the long-term fiscal challenge facing the United States.

The U.S. national debt has surpassed $40 trillion.