The U.S. National Debt Under President George H. W. Bush

Term: 1989–1993

Inheriting Deficits and Breaking a Promise

George H. W. Bush inherited structural deficits from the Reagan years. Despite his "no new taxes" pledge, he signed the Omnibus Budget Reconciliation Act of 1990, which included tax increases to address the ballooning deficit. The costly Savings & Loan crisis bailout and the Gulf War further strained the budget.

The Debt in Numbers

Debt at Start of Term (1989): ~$2.85 trillion

Debt at End of Term (1993): ~$4.41 trillion


Total Increase: ~$1.56 trillion

Percentage Increase: ~54%

A recession in the early 1990s also hurt the economy, reducing tax revenues and contributing to the continued rise of the debt.