Economics
U.S. Posts $2.77 Trillion Budget Gap, Second-Biggest Ever
- Budget deficit remains distorted by massive pandemic spending
- Shortfall expected to shrink further as Covid aid fades
The U.S. Capitol in Washington, D.C.
Photographer: Stefani Reynolds/BloombergThis article is for subscribers only.
The U.S. posted the second-largest annual budget deficit on record for 2021 as pandemic-relief spending sustained the federal government’s massive borrowing needs.
The deficit for the fiscal year through September was $2.77 trillion, compared with the $3.1 trillion peak seen in the previous year, a Treasury Department report showed on Friday.