Image Credit: REUTERS/Andrew Kelly
WASHINGTON, Sept 13 (Reuters) – The U.S. government on Monday posted a $171 billion budget deficit for August, 15% lower than the $200 billion gap a year ago, as recovery-driven tax receipts grew faster than outlays for COVID-19 pandemic relief programs, the Treasury Department said.
The August deficit was $2 billion less than the average forecast by analysts in a Reuters survey. A U.S. Treasury official said the August budget results would not alter the department’s estimates for when Treasury’s extraordinary financing measures to avoid breaching the $28.4 trillion debt limit would be exhausted.
U.S. Treasury Secretary Janet Yellen last week urged Congress to increase or suspend the debt limit, saying that “cash and extraordinary measures will be exhausted during the month of October,” leaving the government unable to fully pay its obligations.
Article URL: https://www.reuters.com/business/us-august-budget-deficit-falls-revenues-recover-2021-09-13/