U.S. government posts $215 billion deficit in February

The U.S. government had a $215 billion budget shortfall in February as revenues into the government`s coffers fell and outlays increased, the Treasury Department said on Monday.

That compared with a budget deficit of $192 billion in the same month last year, according to Treasury`s monthly budget statement.

Economists polled by Reuters had forecast the Treasury recording a $216 billion deficit last month.

The deficit for February was not affected by timing-related transactions.

The deficit for the fiscal year, which began in October, was $391 billion, compared to a deficit of $351 billion in the same period of fiscal 2017.

When accounting for calendar adjustments, the deficit for the fiscal year to date was $448 billion, compared to an adjusted total of $390 billion for the prior fiscal year.

A combination of tax cuts passed by the Trump administration late last year and an increase in government spending agreed in early February are set to add to the nation`s budget gap with $1 trillion annual deficits on the horizon.

There were four consecutive $1-trillion deficits under former President Barack Obama. But they resulted from a historic financial crisis, a recession and stimulative spending. Last year`s annual fiscal deficit was $666 billion.

Receipts last month totalled $156 billion, down 9 percent from February 2017, while outlays stood at $371 billion, an increase of 2 percent from the same month a year earlier.

(This article has not been edited by Zeebiz editorial team and is auto-generated from an agency feed.)