The US debt crisis worsens: US government interest payments are now up to an annualized record of $1.47 trillion. This comes as federal interest payments rose +5% YoY, to $1.20 trillion, an all-time high. Federal interest costs have DOUBLED over the last 4 years. Meanwhile, interest paid by state and local governments fell -3% YoY, to $270 billion, the lowest since Q1 2023. However, this is ~$80 billion above the levels seen in 2007 before the 2008 Financial Crisis. As a result, federal, state, and local interest expenditures as % of GDP are up to 4.7%, near the highest in 27 years. Debt crisis is an understatement.