US budget deficit hits record $ 1.7 trillion in first half of fiscal 2021

The US budget deficit in the first half of fiscal year 2021 (started on October 1, 2020) exceeded $ 1.7 trillion. The US Treasury Department announced this on Monday, Trend reports referring to TASS.

In turn, the Associated Press notes that this figure is a record and is almost double the previous maximum figure for half a year, recorded in 2011 fiscal year. The increase in the budget deficit is primarily due to the emergency expenses of the American government to overcome the economic crisis, which was caused by the pandemic provoked by the new coronavirus.

According to the data released by the Ministry of Finance, in general, for the first six months of the 2021 fiscal year, federal budget expenditures exceeded $ 3.4 trillion, while revenues to the treasury amounted to only about $ 1.7 trillion. In March, the US budget deficit increased by almost $ 660 billion.

In March, US President Joe Biden signed a new $ 1.9 trillion stimulus package approved by Congress in the face of a pandemic. It provides for the allocation of approximately $ 400 billion directly to combat the novel coronavirus pandemic. About $ 1 trillion should be directed to providing assistance to the population, the rest – to stimulate the economy.

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