International Financial Association warns: Trump may cause U.S. debt to exceed 150% of GDP

ChainCatcher news, according to Jinshi reports, analysts from the Institute of International Finance (IIF) indicate that the incoming president plans to cut taxes without reducing spending on inequality, which will cause the U.S. national debt to rise from the current approximately 100% of GDP to over 135% in 10 years.

Inflation may also rise as Trump stimulates spending by imposing tariffs on foreign-made goods, making imported goods more expensive. The U.S. national debt is already close to $36 trillion, and the Institute of International Finance warns that if Trump's tax cut plan results in greater losses for the U.S. Treasury than expected, the debt could exceed 150% of GDP.

Additionally, the Institute of International Finance points out that U.S. farms, construction, and healthcare "heavily rely on immigrant workers," and targeting this group under Trump's leadership could "put additional upward pressure on prices."