CBO Forecasts Rising US Budget Deficit as Trump Policies Impact Economy
The CBO expects the federal deficit to hit $1.853 trillion in 2026. This rise reflects lower growth and the impact of recent tax cuts on the nation's debt.
The Congressional Budget Office announced today that the federal budget deficit is projected to grow to $1.853 trillion in fiscal 2026. This forecast for the US 
US reflects a combination of slower economic growth and the fiscal effects of recent policies implemented by the Trump administration. The new projections indicate a worsening of the country’s long-term fiscal outlook and an increase in the projected deficit-to-GDP ratio.
US reflects a combination of slower economic growth and the fiscal effects of recent policies implemented by the Trump administration. The new projections indicate a worsening of the country’s long-term fiscal outlook and an increase in the projected deficit-to-GDP ratio.The latest figure is approximately $100 billion higher than the Congressional Budget Office’s January 2025 projection for fiscal 2026. Over the ten-year period spanning 2026 to 2035, the cumulative deficit is now expected to be about $1.4 trillion higher than previously estimated. This rise in projected deficits is attributed in part to the fiscal impact of the One Big Beautiful Bill, a cornerstone of the economic agenda led by Donald Trump.
