Serious Global Financial Crisis Coming As Debt Levels Skyrocket, Warns Jim Rogers: 'It Will Be The Worst In My Lifetime'

Seasoned investor and co-founder of Soros Fund Management Jim Rogers has offered a gloomy outlook for the U.S., warning about the country's growing debt burden. 

What Happened: In an interview with Sputnik International earlier this month, Rogers said that the U.S. is facing a significant challenge with its rapidly escalating debt, which currently stands at an alarming $32.47 trillion. 

He predicted the mounting debt burden would eventually manifest through persistent high inflation and elevated interest rates. 

According to the investor, the U.S. went from a creditor nation to the "largest debtor nation in the history of the world" in half a century.

"In the 1970s to 1980s, the last time we had this kind (of problem), interest rates went to 21% on government bonds, government paper, because the inflation was so bad. The inflation now is worse," he said.  

"In 1980, the U.S. was still a creditor nation. Now, the U.S. is the largest debtor nation in the history of the world. So sure, things feel okay at the moment. Things have calmed down at the moment, but it's not going to last forever," Rogers argued. 

Rogers also warned that the country's historically high debt levels would make the next economic crisis the biggest one in his lifetime.

Also Read: Treasury Has Just $88B Left To Avoid A Debt Cap

"We had a problem in 2008. I will tell you the next time we have an economic problem, it will be the worst in my lifetime, and that means the worst in your lifetime, too. In 2008, we had a big problem because of too much debt. Since 2009, the debt everywhere has skyrocketed. So the next financial problem has to be very, very serious because the debt is so much bigger," he explained.

Because money needs to be printed and borrowed in order to pay off the debt, "when you borrow huge amounts of money, interest rates will increase. Inflation will go higher because so much money has been printed," Rogers said. 

According to the investor, the U.S. government and Federal Reserve will need more tools to contain the next crisis sufficiently.

"All they know to do is to print money. They will print money. They might put in more controls. They probably will put in more controls. That's something they have always loved to do. That usually makes it worse in the end, but that's all they know to do," he said. 

Now Read: Down To The Wire: How The Senate's Debt Ceiling Vote Could Play Out

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