issued by the US government
I'm talking about government bonds and their exposure is quite high trillion that's how much countries around the world have spent they have bought this debt $7.6 trillion and the vulner the most vulnerable among them are American Allies I have a list and Topping this list is Japan Japan owes dollar of owns rather $1 trillion dollar the United Kingdom around $716 billion Luxembourg 371 billion and billion and why have so many countries invested in US Government debt because
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what is the world's biggest concern right now conflicts arguably the wars in Ukraine and West Asia they're causing a lot of instability but what if I told you that far from these conflict zones there's a new crisis emerging a $34 trillion debt bomb growing bigger by the anxiety this debt bomb belongs to the United States of America the richest country in the world also the biggest debt holder in the world and when it explodes this bomb will cause global Devastation the warning comes from the boss of America's biggest bank his name is Jamie Diamond he's the CEO of JP Morgan Chase he says US debt endangers Global Security and this debt is humongous as of today us borrowing GDP by 2035 this number is set to hit 130% 130% of America's GDP that is the level of their debt and this high level dangerous let me quote from what Diamond has said if you look at that 100% debt to GDP by 2035 I think it's going to be stick that hockey stick does not start yet but when it starts markets around the world there will be a rebellion what is this hockey stick he's talking about it's a scenario where High borrowing leads to higher costs charges to service this debt and how does it pose a global threat again let me quote this is about the security of the world we need a stronger military we need a stronger America we need it now so I put this as a risky thing for all of us this is risky both for America and its allies and the rest of the world many of these allies have bought debt issued by the US government I'm talking about government bonds and their exposure is quite high trillion that's how much countries around the world have spent they have bought this debt $7.6 trillion and the vulner the most vulnerable among them are American Allies I have a list and Topping this list is Japan Japan owes dollar of owns rather $1 trillion dollar the United Kingdom around $716 billion Luxembourg 371 billion and billion and why have so many countries invested in US Government debt because they thought it's a solid investment as Joe Biden himself says we are able to borrow because we always pay our debt but is that really a guarantee what happens when the loans keep piling up and the US is unable to catch up what happens if the United States defaults all of these countries will lose money their economies will be expose some of them are Military Allies of the the US Canada and the UK for instance they're members of NATO Japan is Central to us defense strategy in the East a default by America will leave all of them weaker and this is the risk that the JP Morgan Chief is referring to the other big risk of for of course is to the US itself such high levels of debt will hurt American defense defenses Untamed debt could lead lead to a budget squeeze the United States is the world's biggest defense spender in 2022 it spent defense in contrast the national debt surpassed 100% of the country's GDP which brings us to the obvious question how did the US end up with so much debt place ironically one key reason is America's many conflicts the post 911 Wars the United States has spent or sanctioned around $8 trillion on its Wars meaning they've spent $8 trillion on wars in Afghanistan and Iraq and on strengthening America's Global Security presence 8 trillion these wars were financed almost entirely through debt since 2001 these loans have ballooned and the interest keeps piling up I have some estimates from 2020 experts say the US borrowed some $2 trillion for its global war on terror by trillion so the us will have to pay $2 trillion in principle and another 2 trillion in interest so 4 trillion in all and what happens if this interest keeps keeps piling on if they don't pay by 2050 the interest payment alone would be worth some $65 trillion doar so America amica's many wars are burning a pocket and yet they haven't tightened their belt this debt is now the biggest vulnerability of the US not an external enemy but its own growing pile of debt and it should worry the world USA embassy in canada 
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