Washington, February 01: The Obama administration has projected the US deficit will reach a record $1.6 trillion in the current fiscal year, a congressional source has revealed.
The official who spoke on condition of anonymity on Sunday said deficits over the next decade will comprise an average of 4.5% of the size of the economy.
The Congressional Budget Office had originally forecast the deficit at $1.35 trillion. In its budget proposal to be released on Monday, the White House predicts that deficits will fall to $700 billion by the fiscal year 2013.
The White House said on Sunday that US President Barack Obama is to speak about the country’s budget on Monday.
Economists believe the debt level has reached dangerous new heights and should be addressed.
——-Agencies