New Delhi, Oct. 11 -- Billionaire investor Ray Dalio, known for predicting the 2008 financial crisis, has warned that the US faces a form of "civil war" driven by increasing government debt, significant wealth disparities, and internal chaos.

Dalio, founder of Bridgewater Associates, has warned that increasing political and economic instability in the US could trigger a sort of "civil war", which will not be an armed conflict, but a breakdown in consensus among Americans.

"We have a civil war of some sort which is developing in the United States and elsewhere where there are irreconcilable differences," Dalio told Bloomberg's Francine Lacqua in an interview aired on Friday.

The billionaire highlighted rising government debt and growing...