In a surprising move, Federal Reserve Chairman Jerome Powell addressed the issue of the United States' growing national debt on CBS's 60 Minutes Sunday. Powell expressed concern over the long-term sustainability of the country's fiscal path, as the national debt approaches $34.2 trillion.

Despite the U.S. economy avoiding a projected recession in 2023, the combination of soaring government spending and reduced tax revenues has led to a record high in national debt. The U.S. government debt to GDP ratio has risen from slightly over 100% in 2019 to more than 120%, indicating that the debt is growing at a faster pace than the economy.

Powell emphasized the need for elected officials to engage in a serious conversation about restoring the federal government to a sustainable fiscal path. He criticized current policies, describing them as "effectively borrowing from future generations" and warned that it was time to prioritize fiscal sustainability.

The Federal Reserve Chairman's comments are unusual, as the central bank is intended to remain nonpartisan and independent from politics. Powell reaffirmed the Fed's commitment to avoid commenting on fiscal policy and instructing Congress, emphasizing that Congress holds oversight over the Federal Reserve.

Powell isn't the only prominent figure expressing concern over the surging national debt. JP Morgan Chase CEO, Jamie Dimon, previously cautioned that the U.S. economy is heading towards a "cliff" unless immediate action is taken to address the excessive debt burden. Dimon warned that foreign owners of U.S. government bonds could rebel if the current spending trajectory and debt burden continue.

Other notable figures in the finance industry, such as Mark Spitznagel, founder of hedge fund Universa Investments, and Ray Dalio, founder of Bridgewater Associates, have also highlighted the risks arising from rising federal deficits. Spitznagel referred to the current situation as "the greatest credit bubble in human history," while Dalio warned of a looming debt crisis if the government continues to borrow solely for debt servicing payments.

Despite these concerns, Treasury Secretary Janet Yellen has brushed off worries about the rising national debt. Yellen asserts that the key metric to examine is net interest payments as a percentage of GDP, which remains at a manageable level.

Chairman Powell acknowledged the resilience of the U.S. economy, which he described as dynamic, innovative, flexible, and adaptable. These qualities have contributed to its outperformance in comparison to other countries. However, Powell stressed the importance of taking action sooner rather than later to rectify the debt situation.

As the U.S. faces mounting criticism and calls for fiscal responsibility, it remains to be seen how policymakers will maneuver to address the rising national debt and ensure the long-term financial stability of the country.