The U.S. budget deficit shrank by $41 billion to $1.775 trillion in the 2025 fiscal year, despite a $118 billion increase in revenues from President Donald Trump's tariffs, the Treasury Department reported on Thursday.
The results for the year ended September 30, which include nearly nine months of Trump's second term in the White House, compared to a $1.817 trillion deficit in fiscal 2024. It was the first time the annual deficit had fallen since 2022, when the unwinding of COVID-19 relief programs brought spending down.
The smaller deficit was aided by a record $195 billion in net customs receipts for the fiscal year, an increase of $118 billion from the prior year as new Trump tariffs rolled in.
Total receipts for fiscal 2025 were a record $5.235 trillion, up $317 billion, or 6%, from the $4.918 trillion in fiscal 2024. Fiscal 2025 outlays also were a record at $7.01 trillion, up $275 billion, or 4%, from the $6.735 trillion in the prior fiscal year.
A U.S. Treasury official said the department calculated an estimated deficit-to-GDP ratio of 5.9% for fiscal 2025, but declined to say what GDP estimate was used. This figure compares to an actual 6.3% deficit-to-GDP ratio for fiscal 2024.
For the 2025 fiscal year's final month of September, the Treasury reported a record surplus of $198 billion, up $118 billion, or 147%, from the same month in the prior year.
The results for the year ended September 30, which include nearly nine months of Trump's second term in the White House, compared to a $1.817 trillion deficit in fiscal 2024. It was the first time the annual deficit had fallen since 2022, when the unwinding of COVID-19 relief programs brought spending down.
The smaller deficit was aided by a record $195 billion in net customs receipts for the fiscal year, an increase of $118 billion from the prior year as new Trump tariffs rolled in.
Total receipts for fiscal 2025 were a record $5.235 trillion, up $317 billion, or 6%, from the $4.918 trillion in fiscal 2024. Fiscal 2025 outlays also were a record at $7.01 trillion, up $275 billion, or 4%, from the $6.735 trillion in the prior fiscal year.
A U.S. Treasury official said the department calculated an estimated deficit-to-GDP ratio of 5.9% for fiscal 2025, but declined to say what GDP estimate was used. This figure compares to an actual 6.3% deficit-to-GDP ratio for fiscal 2024.
For the 2025 fiscal year's final month of September, the Treasury reported a record surplus of $198 billion, up $118 billion, or 147%, from the same month in the prior year.
You may also like
Mark your calendars: UAE Union March 2025; full guide to date, timings, venue, registration details
"Moment of accomplishment, missile represents self-reliance": UP CM Yogi Adityanath on flagging of first batch of BrahMos missiles in Lucknow
AI Coach: Let AI be your coach, it can super organize your habits and routines; achieve your goals faster...
SpiceJet Expands Flight Network to Bihar and Ayodhya Ahead of Diwali and Chhath for Smoother Travel Experience
Top 9 highest-paid footballers in the world revealed as Ronaldo blows Messi away
