According to estimates released on Friday by the Congressional Budget Office (CBO), the federal budget deficit for the previous two months was $383 billion. According to the impartial budget scorekeeper, the government ran a $317 billion deficit in November. This is $250 billion more than the deficit reported by the Treasury Department in October and $68 billion more than the deficit recorded during the same month last year.
$383 billion
The CBO stated that even while the agency predicted receipts in October and November were 19% more than during the same period in 2022, the two-month deficit this year was still $47 billion greater due to a 17% rise in outlays. The CBO cited two sectors in which their projection of spending had “increased substantially.”
Over the following several years, the CBO stated, “The FDIC expects to recover much of that amount by continuing to liquidate the banks’ assets and by collecting higher premiums from FDIC-insured institutions.”
- Advertisement -
Health Insurance Policy for Students
The agency also emphasized that net outlays for interest on the public debt increased by 65% from the prior year, mostly as a result of interest rates being “significantly higher than they were” during the same two-month period the year before. While Medicare and Medicaid spending climbed by 1 percent and 17%, respectively, more money was spent on Social Security payouts.
The Department of Veterans Affairs saw an increase in spending of 18%, “mostly because of increased spending per person and veterans’ increased use of health care facilities,” and the Energy Department saw an increase in spending of $5 billion, “primarily because last year the administration sold a substantial amount of oil from the Strategic Petroleum Reserve,” according to the CBO.
The Defense Department’s spending increased by 13%, according to the CBO projection, with “military personnel and operation and maintenance” seeing the biggest increases.