JPMorgan CEO Jamie Dimon Warns of Impending US Economic Disaster Due to Growing National Debt

Thea Fathanah Arbar, CNBC Indonesia

Monday, 01/29/2024 21:40 IWST

Foto: JPMorgan CEO Jamie Dimon (Photo: AP)

Jakarta, CNBC Indonesia – The economy of the United States (US) is headed for disaster. This is because the large national debt continues to increase.

This was said by JPMorgan CEO Jamie Dimon in an interview earlier this week. According to the chief executive of the country’s largest bank, this situation needs to be addressed immediately by the government before it causes a major economic crisis.

“It’s a cliff, we’ll see the cliff,” Dimon said in an interview with Fox Newsquoted Monday (29/1/2024).

“It’s about 10 years away, we’ll be going 60 miles an hour (toward that),” he added.

Dimon also agrees with the views of former DPR Speaker Paul Ryan. He also called the growing debt “the most predictable crisis we have ever experienced.

The warning was issued by Ryan and Dimon during a panel discussion at the Bipartisan Policy Center last Friday. The US federal government debt reached US$34 trillion (Rp. 537,677 trillion) for the first time in history at the end of December 2023.

That now amounts to about US$102,000 for the average American family of three. In 2023 alone, the number will grow to more than US$4 trillion.

Total U.S. public debt is roughly equivalent to the economies of China, Germany, Japan, India and the United Kingdom combined, as indicated by the Peter G. Peterson Foundation, a nonpartisan fiscal policy group in New York. Earlier this week, US Treasury Secretary Janet Yellen said that the absolute level of US public debt looked like a “scary number”.

“So far, (government debt) is quite under control,” he said, calling for steps to ensure our deficit falls and remains at a manageable level.

The large sums consist of the federal government’s debts to creditors, including individuals, such as citizens and foreign investors, as well as states or large funds. Washington continues to borrow money to cover a budget deficit that has been running for more than 20 years.

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