US budget deficit nearly triples through June 2023
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Receipts slipped 11 per cent compared with 2022, while outlays rose by 10 per cent, said a Treasury official.
PHOTO: AFP
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WASHINGTON - The US budget deficit in the first nine months of the fiscal year nearly tripled from a year ago, the Treasury Department said on Thursday, citing lower receipts and higher spending.
The deficit for the period between October 2022 and June this year came in at US$1.39 trillion (S$1.8 trillion) – up from US$515 billion the same period a year ago.
Receipts slipped 11 per cent compared with 2022, while outlays rose by 10 per cent.
Part of this reflects strong receipts in 2022 and slower receipts in 2023 in capital gains and other categories, a Treasury official told reporters.
Among outlays, a factor is higher interest expenses, the official added, speaking on condition of anonymity.
Federal Reserve earnings are down US$93 billion, while interest on the public debt rose US$131 billion to US$652 billion in the year-to-date period, due mainly to higher interest rates, according to the Treasury.
Social Security Administration outlays were also up by US$101 billion, driven by cost-of-living adjustments and increased beneficiaries in the programme, the official added.
The official also highlighted the Federal Deposit Insurance Corporation’s net outlays, primarily for the resolution of First Republic, Silicon Valley and Signature banks
