US debt crosses $40 trillion: How it could affect Nepali rupee, remittances and imports
Summary
US public debt has crossed $40 trillion, raising concerns about higher interest costs, global borrowing pressure and the next debt-ceiling fight. For Nepal, a stronger dollar could weaken the Nepali rupee, make imports more expensive and boost the rupee value of remittances.
Key Points
- The US Treasury said total public debt outstanding reached $40.047 trillion on August 18, 2026, far ahead of prior projections.
- Rising debt and interest costs are lifting US Treasury yields, which can increase borrowing costs worldwide.
- A stronger dollar and higher US rates can दबाव on the Nepali rupee, raising import costs but increasing the rupee value of remittances.
- Nepal’s remittance inflows have already surged, helped in part by exchange-rate gains from a weaker rupee.
