US Treasury expects to borrow $463 billion this quarter – Riverside, California

Riverside, California 2021-05-04 06:03:21 –

The significant increase of $ 368 billion was due to the passage of $ 1.9 trillion in aid measures that President Joe Biden passed through Congress in March.

Washington — The Treasury expects to borrow $ 436 billion in the current April-June quarter and $ 2.28 trillion for the entire budget year as the government funds ongoing pandemic bailouts. It states that it is.

Treasury officials announced on Monday that this quarter’s borrowing of $ 436 billion showed a significant increase from the February borrowing estimate of $ 95 billion.

The significant increase of $ 368 billion is due to the passage of $ 1.9 trillion in support measures promoted by President Joe Biden in Congress in March, resulting in a total of $ 1,400 per individual relief and extension of emergency unemployment benefits. Other assistance was provided, including.

Estimates for April-June borrowings are $ 401 billion in actual Treasury borrowings for the January-March quarter and $ 579 billion for the first quarter of the government budget year, October-December. It follows the debt of.

On Monday, the Treasury forecasted $ 821 billion in borrowing needs in the final quarter of the 2021 budget year, the July-September quarter.

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This brings total borrowing to $ 2.28 trillion this year. That’s a fair amount, but last year’s total borrowing fell from $ 4.01 trillion.

The borrowing was needed to support the highest ever budget deficit of $ 3.1 trillion. This is a figure that reflects the trillions of dollars of government support provided to mitigate the negative effects of the pandemic, forcing widespread closures and millions of losses. jobs.

Private economists predict that this year’s deficit could reach more than $ 3.3 trillion.

According to the Treasury, the borrowing needs estimate estimates that the government’s cash balance will be $ 450 billion when the current suspension of the government’s borrowing limit ends on July 31st.

When the debt suspension expires, the government will have to adopt an urgent move to continue borrowing money until Congress passes the debt limit hike. This has fostered partisan clashes over government tax and spending policies in the past.

US Treasury expects to borrow $463 billion this quarter Source link US Treasury expects to borrow $463 billion this quarter

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