CNN Business - US Debt: Federal Interest Payments Could Soon Exceed Military Spending

Article by Matt Egan in CNN Business

The Federal Reserve’s war on inflation isn’t just painful for home buyers and people with credit card debt. Uncle Sam is getting squeezed by higher borrowing costs, too.

The cost to finance America’s growing mountain of debt is rising rapidly.

During fiscal 2022 alone, the federal government made $475 billion in net interest payments, up from $352 billion the prior year, according to the US Treasury Department. For context, that’s more than the government spent on veterans’ benefits and transportation – combined. And it’s nearly as much as the $677 billion spent on education.

By 2025 or 2026, the United States may hit a bleak milestone: Federal interest payments could exceed .......

To read this article in CNN Business in its entirety, click here.