{"id":62356,"date":"2026-11-07T21:19:34","date_gmt":"2026-11-07T18:19:34","guid":{"rendered":"https:\/\/sudanevents.com\/?p=62356"},"modified":"2026-11-07T21:19:34","modified_gmt":"2026-11-07T18:19:34","slug":"public-debt-americas-final-shot","status":"publish","type":"post","link":"https:\/\/sudanevents.com\/index.php\/2026\/11\/07\/public-debt-americas-final-shot\/","title":{"rendered":"Public Debt: America&#8217;s Final Shot?"},"content":{"rendered":"<p><span style=\"color: #ff0000;\"><strong>Professor Ahmed Magzoub Ahmed Ali<\/strong><\/span><\/p>\n<p><strong>Did you know that the US economy, which is considered the world&#8217;s largest in terms of size and influence, is facing a genuine financial crisis that could threaten its global standing and credit rating?<\/strong><\/p>\n<p><strong>This crisis has two dimensions: the growing \u2014 or, more accurately, spiralling \u2014 US public debt, and the increasing inability to meet the costs of Social Security, whose annual expenditure amounts to $1.6 trillion.<\/strong><\/p>\n<p><strong>According to the latest report issued in 2026, US public debt has reached $40 trillion. Imagine, if the US Treasury decided to repay $1 billion every day, it would need 111 years to settle the debt!<\/strong><\/p>\n<p><strong>Even worse, the US Treasury Department is repaying maturing debt by issuing new debt. In 2025, the Treasury announced 444 auctions of Treasury bills and bonds, through which it refinanced $9.1 trillion in maturing securities and borrowed an additional $1.9 trillion. This gives you an indication of the scale of the financial problem facing the US government.<\/strong><\/p>\n<p><strong>The second recurring challenge is servicing the interest on the debt, which is expected to reach $1 trillion by the end of 2026, equivalent to $2.7 billion per day! The Congressional Budget Office expects interest payments to double in 2026!<\/strong><\/p>\n<p><strong>What further confirms the growing severity of the crisis is that the US government&#8217;s plans do not include repaying the principal of the debt. Instead, its focus is on how to manage it in a way that ensures interest payments can be met while maintaining its ability to issue new debt instruments.<\/strong><\/p>\n<p><strong>Even this option, however, is far from straightforward, as it depends on external factors beyond the US government&#8217;s control. These include maintaining investors&#8217; confidence in Treasury securities to ensure that they continue purchasing Treasury bonds and bills. The ability to manage the debt also depends on the dollar retaining its position in the international monetary and financial system, thereby ensuring its acceptance in settling claims and meeting obligations, while encouraging governments and institutions to hold it as a store of value.<\/strong><\/p>\n<p><strong>Added to these external factors is a domestic requirement: the continued ability of the US economy to generate revenue and achieve growth, enabling the government to meet maturing debt obligations and pay the interest due.<\/strong><\/p>\n<p><strong>All these factors are being called into question by experts and economists, particularly in light of China&#8217;s development and emergence as a major global economic power. China has mastered advanced technology and achieved competitive advantages that the US economy does not possess.<\/strong><\/p>\n<p><strong>The most influential factor, however, is the emergence of new economic groupings and blocs, such as BRICS, which represents considerable demographic weight and economic power, with numerous advantages inherent in the economies of its member states that are not found in the US economy. This is in addition to the expanding influence of certain emerging powers, such as T\u00fcrkiye and India.<\/strong><\/p>\n<p><strong>The US financial situation is further aggravated by the Social Security budget deficit. The gap between beneficiaries&#8217; contributions and annual expenditure to meet their entitlements continues to widen, with the financial shortfall increasing noticeably. This points to growing difficulties in meeting the obligations owed to beneficiaries under Social Security funds and programmes.<\/strong><\/p>\n<p><strong>This explains why the US government revised its strategy in 2025, reorganizing its priorities and placing domestic American concerns at the top of its agenda. It can no longer afford to continue playing the role of the world&#8217;s policeman.<\/strong><\/p>\n<p><strong>Perhaps America&#8217;s position toward its allies in the war against Iran provides further evidence of the continuing impact of its financial constraints on its ability to respond to the demands of countries under its protection or those seeking to align themselves with it.<\/strong><\/p>\n<p><strong>The indicators of America&#8217;s relative decline continue to grow, and new powers may emerge to restore balance to international relations.<\/strong><\/p>\n","protected":false},"excerpt":{"rendered":"<p>Professor Ahmed Magzoub Ahmed Ali Did you know that the US economy, which is considered the world&#8217;s largest in terms of size and influence, is facing a genuine financial crisis that could threaten its global standing and credit rating? This crisis has two dimensions: the growing \u2014 or, more accurately, spiralling \u2014 US public debt, &hellip;<\/p>\n","protected":false},"author":2,"featured_media":36036,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[19],"tags":[],"class_list":["post-62356","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-opinion"],"_links":{"self":[{"href":"https:\/\/sudanevents.com\/index.php\/wp-json\/wp\/v2\/posts\/62356","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/sudanevents.com\/index.php\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/sudanevents.com\/index.php\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/sudanevents.com\/index.php\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/sudanevents.com\/index.php\/wp-json\/wp\/v2\/comments?post=62356"}],"version-history":[{"count":1,"href":"https:\/\/sudanevents.com\/index.php\/wp-json\/wp\/v2\/posts\/62356\/revisions"}],"predecessor-version":[{"id":62357,"href":"https:\/\/sudanevents.com\/index.php\/wp-json\/wp\/v2\/posts\/62356\/revisions\/62357"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/sudanevents.com\/index.php\/wp-json\/wp\/v2\/media\/36036"}],"wp:attachment":[{"href":"https:\/\/sudanevents.com\/index.php\/wp-json\/wp\/v2\/media?parent=62356"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/sudanevents.com\/index.php\/wp-json\/wp\/v2\/categories?post=62356"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/sudanevents.com\/index.php\/wp-json\/wp\/v2\/tags?post=62356"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}