Goldman Sachs CEO David Solomon has joined JPMorgan Chase chief Jamie Dimon in warning that the United States’ swelling national debt could pose long-term risks to economic stability if growth fails to keep pace.
Speaking at the Economic Club of Washington, Solomon said the US debt, now exceeding $38 trillion, is less alarming for its size than for its rising debt-to-GDP ratio. “If we continue on the current course and don’t take the growth level up, there will be a reckoning,” he said.
He stressed that the issue is not yet a crisis but called for stronger productivity to sustain fiscal health. Solomon sees technology and artificial intelligence as key growth drivers capable of lifting output and offsetting debt pressures. “The path out is a growth path,” he noted, urging that AI be embedded across industries to enhance efficiency.
His comments align with Dimon’s long-standing warnings that unchecked borrowing could eventually unsettle bond markets. The JPMorgan CEO has cautioned that “one day, the bond markets are gonna have a tough time,” though the timing is uncertain. He advocates growth-oriented reforms, including regulatory simplification and workforce development, to rebuild fiscal resilience.
Dimon has also criticised market complacency despite the US losing its triple-A credit rating this year. Analysts warn that rising interest costs and persistent deficits could restrict future government spending flexibility.
Both executives agree the US remains economically strong but must act before confidence erodes. “The US is still the best house in a tough neighbourhood,” Solomon said, “but we can’t ignore the cracks in the foundation.”
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