US budget deficit to hit $3 trillion

The US federal government will be swimming in $3 trillion of red ink by the end of fiscal 2021, according to a Congressional Budget Office estimate released July 1, Report informs.

Federal government expenditure is projected at $6.8 trillion and revenues at $3.8 trillion. In particular, the $1.9 trillion coronavirus relief package, adopted at the initiative of President Joe Biden, will play a role in increasing the spending.

The deficit in absolute terms will be $1.2 trillion in 2022 and $800 billion in 2023. The deficit will grow again starting in 2025.