Treasury Secretary Scott Bessent: U.S. Aims to Outgrow Its Debt with GDP Surge
U.S. Treasury Secretary Scott Bessent made a bold fiscal declaration this week, stating the government's plan to boost economic growth faster than the national debt, with the aim of stabilizing the country’s debt-to-GDP ratio.
“We’re set to skyrocket GDP growth beyond debt growth, stabilizing the debt-to-GDP ratio,” Bessent said.
Turning the Page on a Heavy Deficit
Bessent criticized the fiscal state inherited from the previous administration, referencing a 6.7% budget deficit-to-GDP ratio — the highest ever recorded outside of wartime or recession.
“What we inherited was a deficit at peacetime levels that made no sense. We’ve worked to reduce spending, and now we’re focused on expanding the revenue base,” he explained.
Strategy: Economic Expansion Over Austerity
Rather than relying solely on spending cuts, Bessent emphasized that the administration’s strategy revolves around economic growth. The goal is to increase national revenue by expanding GDP, thereby reducing the relative burden of the federal debt.
He also highlighted that former Treasury Secretary Janet Yellen supports the same core metric: keeping the debt-to-GDP ratio stable.
“Even Secretary Yellen and I agree — stabilizing that number is what really matters,” Bessent added.
Outlook: Growth-Driven Fiscal Reform
With global investors and rating agencies closely watching the U.S. fiscal trajectory, Bessent’s comments signal a pro-growth approach that could redefine how Washington manages its debt obligations.
If successful, the strategy could ease inflationary pressures and restore confidence in America’s long-term financial position — without requiring draconian cuts or tax hikes.
Kosta Gushterov
Reporter at Coindoo
Kosta has been a part of the team since 2021 and has solidified his position with a thirst for knowledge, incredible dedication to his work and a “detective-like” mindset. He not only covers a wide range of trending topics, he also creates reviews, PR articles and educational content. His work has also been referenced by other news outlets.
