With U.S. debt above $40 trillion, the IMF chief warns that economic growth alone won’t solve the problem

The U.S. has a $40 trillion debt problem, and the leader of the IMF says supercharging the nation’s growth isn’t enough to solve it.

Speaking during the International Monetary Fund’s annual meetings in Bangkok this week, IMF chief Kristalina Georgieva said that while growth can ease the U.S. debt problem, it isn’t a catch-all solution.

“Growth, of course, helps but it cannot deliver fast enough the necessary adjustments,” she said, adding that the budget deficit must also come down.

The Treasury Department pushed back against Georgieva’s warning by questioning the IMF’s forecasting record in a statement to Fortune .

“When we see pieces on the IMF, it’s good to remember how messy their forecasts have been in the past,” said David Zervos, counselor to Treasury Secretary Scott Bessent, who pointed to rosy economic predictions before the 2008 global financial crisis and the 1997 Asian financial crisis as evidence.

The IMF did not immediately respond to Fortune ’s request for comment.

Georgieva’s comments come at an uncertain time for the U.S. fiscal situation.

At $40.3 trillion, according to Treasury data, the national debt is at a record high .

It is also the largest in the world.

Even more worrying to experts is the U.S. gross debt-to-GDP ratio, which stood at about 126%, according to the Treasury Department .

Publicly held debt is lower, at 100% of GDP, but is still the highest since shortly after World War II ended, according to the Committee for a Responsible Federal Budge t.

A growing economy can make existing debt easier to manage.

But if Washington keeps borrowing faster than the economy expands, the ratio can continue rising even when the economy grows.

The mounting debt also means a greater share of the government’s revenue goes toward interest payments instead of other priorities like public services.