US federal deficit totals $360bn in first 7 months of FY2022

Washington, May 10 US federal budget deficit totalled $360 billion in the first seven months of fiscal year 2022 (from October 2021 through April 2022), according to Congressional Budget Office (CBO) estimates.

That amount is about one-fifth of the $1.9 trillion shortfall recorded during the same period in fiscal year 2021, the CBO said in its monthly budget review released on Monday.

Revenues were $843 billion, or 39 per cent higher and outlays were $729 billion, or 18 per cent lower than a year ago, the report showed.

The federal government realised a surplus of $308 billion in April 2022, CBO estimates, noting that the federal government recorded a surplus in April of each year.

The deficit at this point last year and in 2020, $1.9 trillion and $1.5 trillion, respectively, was much larger because of spending in response to the Covid-19 pandemic mostly for the recovery rebates (also known as economic impact payments), unemployment compensation, and pandemic relief, the report said.