İrem UZUN -TDO- The coronavirus pandemic has pushed the U.S. federal budget deficit above $3 trillion for the first 11 months of fiscal 2020, more than doubling the previous full-year record, the U.S. Treasury said on Friday.
That figure amounts to $1.9 trillion more than the same period last year, and more than double the largest yearlong deficit on record. The difference comes almost entirely from increased federal spending due to the coronavirus pandemic, with revenues down just 1 percent but spending up 46 percent compared to the same period last year. The U.S. has thus far thrown $6 trillion in relief spending at the coronavirus crisis, only half of which was covered by tax revenues and other receipts. The Treasury Department is expected to publish the official deficit tally for August later in the week.
The Congressional Budget Office this month predicted that the U.S. was likely to run a full-year deficit of $3.3tn, more than triple the shortfall recorded last year. The federal government's financial year ends in September. The agency said it expected total U.S. debt to exceed $26tn, BBC reported.