US debt hits $40 trillion: Who does Washington owe and why does it matter?

The US national debt has surpassed $40 trillion for the first time, marking a historic milestone as the Trump administration faces growing borrowing costs. Treasury Secretary Scott Bessent downplayed the significance of the headline figure, saying the US will have to "grow our way out of this". The debt has risen under successive administrations, driven by wars, tax cuts, economic crises and government spending. Trump has repeatedly promised to reduce or eliminate the national debt, but the US has added nearly $4 trillion since he returned to office for his second term. The growing debt is also increasing the government's interest burden, with annual interest payments now exceeding $1 trillion and surpassing US military spending.

Al Jazeera's Patty Culhane reports from Washington, DC.

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