u/hexistpinata

There is a portion of national debt is held by foreign governments,both nations considerdd "allies" and geopolitical rivals ($9.37 trillion or about 23% of the US National Debt). Renegotiating debt obligations to these countries if the US were to pursue that would involve changing the terms of repayment, which undoubtedly could have significant economic and diplomatic consequences. Would it reduce economic leverage held by countries like Russia, China, and Iran over the US OR would it just damage the US's global credit rating and undermine trust in the nation’s financial system?