MercoPress. South Atlantic News Agency

US record budget deficit

The United States government had a record deficit of 252,6 billion US dollars during the first half of fiscal 2003 indicated the Treasury Department. March was the most significant month with a 58,7 billion deficit following an expenditure increase of 6,6% and a 6,1% fall in revenue.

The first half 2003 budget deficit is almost double the 131,9 billion of the same period a year ago. The Bush administration estimates that by September 30, the whole 2003 deficit will have reached 350 billion. However the forecast for fiscal 2004 is even worse with a plus 400 billion US dollars deficit.

After four years of consecutive surplus during the second term of former Democrat president Bill Clinton, in fiscal 2002 the deficit reached 157,8 billion US dollars. Democrats will be wanting to make public finances a campaign issue in 2004 when president Bush is up for reelection, arguing that the federal deficit has been helped by the tax-cutting programs of the current Republican administration.