U.S. budget gap reaches nearly two trillion
The US budget deficit increased to approximately two trillion dollars in the fiscal year 2026, reaching its highest level since 2021, when the deficit was $1.99 trillion, marking a 12 percent rise compared to the previous year. Revenues grew by 3 percent to $5.4 trillion, while spending rose by 6 percent to $7.4 trillion, with interest payments on public debt increasing by $144 billion to a record $1.36 trillion. The total US federal debt surpassed $40 trillion, amid growing concerns about borrowing costs due to rising bond yields. A law enacted during the Trump administration impacted customs revenues, leading to a decrease in refunds to $145 billion, which resulted in a net decline in customs revenue of approximately $22 billion. Despite revenue growth, higher expenses—especially interest payments and changing tariff policies—contributed to an increase in the deficit for the first time in years.
Notice: This Is an AI-Generated Summary
Comments (0)