U.S. Treasury to borrow record $3 trillion this quarter

by Jordyn Pair · May 5th, 2020 8:37 am

The U.S. Treasury is seeking to borrow just shy of $3 trillion this quarter to help support the economy through the coronavirus crisis, the department announced on Monday.

The exact total is $2.999 trillion.

"The increase in privately-held net marketable borrowing is primarily driven by the impact of the COVID-19 outbreak, including expenditures from new legislation to assist individuals and businesses, changes to tax receipts including the deferral of individual and business taxes from April – June until July, and an increase in the assumed end-of-June Treasury cash balance," the department said in a statement.

The Treasury said it also anticipates borrowing another $677 billion in the third quarter. Borrowing in the first quarter totaled $477 billion.

The $3 trillion is nearly six times the amount of the previous record: $530 billion borrowed during the 2008 financial crisis.

? The national debt has grown by $1.5 trillion to $24.9 trillion since March 1. The budget deficit for the first six months of the fiscal year totaled $744 billion.


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