Federal Debt

STATE OF FISCAL POLICY, SPENDING, AND DEFICITS


Federal Deficit Spending:	$(1.7) trillion LTM Down from peak of $(4.1) trillion. Trillion dollar deficits for foreseeable future?

U.S. Government Debt O/S:	U.S. Treasury Debt O/S: $26.9 trillion ⇧ 10.5% YoY	Federal Debt O/S: $34.0 trillion ⇧ 8.2% YoY

U.S. Treasury Debt Issuance:	LTM Gross Issuance $25.0 trillion	LTM Net Issuance $2.1 trillion

FISCAL POLICY ACTIONS AND COVID-19 PANDEMIC

**Federal Deficit Spending Surges During COVID, Then Declines**

**Federal Debt - U.S. Treasuries - Increases**

FEDERAL SURPLUS (DEFICIT)

   LTM Federal Spending Deficit = ~$(1.8) Trillion; but down from peak of $(4.1) trillion. 
  

U.S. TREASURY SECURITIES: OUTSTANDING AND ISSUANCE

**Issuance of U.S. Treasury Securities**

TOTAL FEDERAL DEBT

FEDERAL DEBT HELD BY INVESTORS

Foreign investors continue to be the largest group holding U.S. debt securities. The Federal Reserve continues to reduce its holdings and is second largest holder.

**Current Holders of U.S. Government Debt**

**Historical Data on Holders of U.S. Government Debt**

**YoY Change in Holdings of U.S. Government Debt**

**Change in Holdings of U.S. Government Debt from 10 Years Ago**

Foreign Investors: As of Q3 2023, foreign investors held $7.516 trillion, or 29 percent of U.S. debt securities. Holdings were up 3.6 percent from a year ago as Foreign investors increased their holdings by $0.265 trillion.

Federal Reserve: As of Q3 2023, the Federal Reserve held $4.367 trillion, or 17 percent of U.S. debt securities. Holdings were down $(0.819) trillion, or (15.8) percent from a year ago.

Retirement Funds: As of Q3 2023, Retirement Funds held $3.1 trillion, or 12 percent of U.S. debt securities. Holdings were up $0.241 trillion, or 8.4 percent from a year ago.