Lubbock Times

Ray Dalio, founder of Bridgewater Associates, met with Budget Chairman Jodey Arrington and other House Republicans to discuss the United States' national debt, which has reached $36 trillion. Dalio emphasized the importance of reducing the budget deficit to 3% of GDP to prevent a sovereign debt crisis.

Chairman Arrington expressed gratitude for Dalio's insights on fiscal policy. "Thank you, Ray Dalio for sharing your insights regarding fiscal policy and the looming threat of a sovereign debt crisis," he said. Arrington stressed the need to control deficit spending and promote economic growth. He also urged Senate colleagues to pass the FY25 House Budget Resolution, which is endorsed by former President Trump.

Dalio appreciated the opportunity for an apolitical discussion about national debt issues. "I think there was a pretty broad recognition that unless the budget deficit is cut to about 3% of GDP that the supply of debt will be much greater than the demand for it and debt service costs will severely squeeze out the government’s ability to spend," he noted. He looks forward to further discussions on managing these challenges.

Dalio has been a global macro investor for over 50 years and founded Bridgewater Associates, now the largest hedge fund in the world. He remains involved as an investor and mentor at Bridgewater while focusing on educating others through his writing and speaking engagements.