Fitch Forecasts US Government Debt to Exceed 120% of GDP by 2028

According to Bourse News, credit rating agency Fitch said in a report that the US government's debt burden continues to rise and will reach 123 percent of GDP by the end of 2028, up from about 117 percent at the end of 2025. Fitch said this level is more than double the average for countries rated "AA" and that the US government has not taken meaningful action to address its large fiscal deficits.

The report said the US general government deficit is projected to reach 7.4 percent of GDP in 2026 and remain there in 2027, the highest among "AA"-rated sovereigns. Fitch estimated the US will hit its statutory debt ceiling of $41.1 trillion by mid-2027, but affirmed the country's long-term foreign-currency issuer rating at "AA+" with a stable outlook.