The U.S. National Debt Under President Joe Biden

Pandemic Recovery and Investment

Joe Biden entered office with the COVID-19 pandemic still raging. His first major legislative achievement was the American Rescue Plan, a $1.9 trillion stimulus package designed to speed up vaccinations and provide direct financial support to American families.

His agenda then shifted to long-term investments. He signed the bipartisan Infrastructure Investment and Jobs Act to modernize roads and bridges, and the Inflation Reduction Act, which focused on climate initiatives and healthcare costs.

Inflation and Rising Interest Rates

The large injection of government spending, combined with global supply chain disruptions, contributed to a surge in inflation. To combat this, the Federal Reserve began aggressively raising interest rates.

These higher interest rates have a direct and significant impact on the national debt. As the government borrows and rolls over existing debt, it must now pay much higher interest costs. Net interest payments on the debt have become one of the fastest-growing expenses in the federal budget.

The Debt in Numbers

The national debt has continued its steep upward climb under President Biden, driven by pandemic relief, new investments, and the rapidly growing cost of interest payments. The debt surpassed $30 trillion in 2022 and has continued to set new records.