Home / News / CBO Lowers FY 2015 Deficit Projection to $426B

CBO Lowers FY 2015 Deficit Projection to $426B

budget analysis reviewA new Congressional Budget Office report predicts the budget deficit to hit $426 billion, a figure $60 billion lower than the agency’s most recent shortfall estimates in March and $59 billion down from the previous fiscal year.

CBO said Tuesday it reduced its budget deficit projection for 2015 due to higher-than-anticipated receipts from corporate and individual income taxes.

Public debt is expected to reach 74 percent of gross domestic product by year-end, according to the report.

The agency expects federal outlays to grow by 5 percent to $3.7 trillion this year and projects outlays for Medicaid, Medicare, Children’s Health Insurance Program and other health plans to climb by 12 percent this year.

CBO also expects an 8 percent increase in federal revenues for fiscal year 2015.

The budget shortfall will drop to $414 billion in fiscal year 2016 and then climb significantly to reach $1 trillion by fiscal 2025, CBO said.

Check Also

VA Appoints Karen Brazell as Chief Acquisition Officer

Karen Brazell, formerly chief of staff at the White House Military Office, officially joined the Department of Veterans Affairs on Aug. 6 as chief acquisition officer and principal executive director for the VA's Office of Acquisition, Logistics and Construction, Federal News Radio reported Monday.

Leave a Reply

Your email address will not be published. Required fields are marked *