US Budget Deficit Beats Estimates In March

The US government posted a USD 176 billion budget deficit in March of 2017, compared to a USD 108 billion gap a year earlier and above market expectations of USD 167 billion. Outlays increased 17 percent to USD 393 billion while receipts fell by 5 percent to USD 217 billion.

In March, social security accounted for USD 79 billion of total outlays, medicare for USD 75 billion, defense for USD 46 billion, interest on debt for USD 30 billion and other expenses for the remaining USD 151 billion. Regarding receipts, social security and other payroll taxes accounted for USD 96 billion, individual income taxes for USD 84 billion, corporate income taxes for USD 13 billion and other taxes and duties for the remaining USD 24 billion.

Outlays for military active duty and retirement, veterans' benefits, supplemental security income, and medicare payments to health maintenance organizations and prescription drug plans accelerated into March, because April 1, 2017, the normal payment date, fell on a non-business day.

When adjusting for calendar effects, the March 2017 deficit was USD 140 billion.

The fiscal 2017 year-to-date deficit widened to USD 527 billion compared with USD 459 billion in the same period of fiscal 2016.

US Budget Deficit Beats Estimates In March

US Treasury | Yekaterina Guchshina |
4/12/2017 6:08:42 PM