The Congressional Budget Office (CBO) expects total federal borrowing from the public to reach $28.2 trillion in 2024 — the highest amount ever recorded. That figure represents the net amount that the United States Treasury has borrowed from creditors by issuing securities that raise cash to support government activities. Debt held by the public does not include intragovernmental debt, which, in simple terms, is debt that the government owes itself. As the United States continues to borrow a significant amount of money each year, let’s take a closer look at a few key characteristics of Treasury borrowing that can affect its budgetary cost, including the different types of Treasury securities issued to the public as well as trends in interest rates and maturity terms.
Types of Treasury Securities
The U.S. Treasury offers marketable and nonmarketable securities. Marketable securities are sold at auction in various…
