IMF warns US government debt is losing its safety premium and raising borrowing costs globally.

The International Monetary Fund warned on Wednesday that the increasing size of US debt issuance is weakening the premium historically enjoyed by US Treasury bonds, which will have an impact on government securities around the world. The Washington-based institution stated in its latest Fiscal Monitor report: "The increasing supply of US Treasury bonds is eroding its previously enjoyed safety premium, and this reduction in premium is pushing up borrowing costs globally."