US Budget Deficit Exceeds Expectations in February

2025-03-12 18:15 By Mojdeh Kazemi 1 min. read

US recorded a budget deficit of $307 billion in February 2025, surpassing the $296.2 billion shortfall from the same month a year earlier.

February's figure slightly exceeded market expectations of a $303.2 billion gap.

Government receipts reached a record $296 billion for the month, up 9% from the previous year.

Meanwhile, expenditures also hit a new high of $603 billion, marking a 6% increase year-over-year.

February's spending increase was primarily driven by higher interest payments on public debt, expanded Child Tax Credit disbursements, and increased Social Security payments, partly due to a 2.5% cost-of-living adjustment for 2025.

After adjusting for calendar variations, the deficit stood at $311 billion, reflecting a 3% rise from February 2024.

Year-to-date government revenue rose 2% to a record $1.893 trillion, while spending surged 13% to a record $3.039 trillion.



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