Budget watchdog: U.S. lawmakers considering $2.3 trillion in new borrowing

According to a report by a group that monitors budgets, U.S. legislators are considering policies that could lead to $2.3 trillion of new borrowing.

“This year, the lawmakers have reduced ten-year debt by $1.3 trillion (see our debt temperature) – this is the highest amount since 2011. The Committee for a Responsible Federal Budget’s analysis released on Wednesday said that policies being considered for passage could wipe out these savings. We estimate that these policies would add $675 billion if they were implemented temporarily and $2.3 trillion if they were made permanent.

According to CRFB “while all of these policies are unlikely to be combined, if history is any guide, a combination could end up alongside legislation that must pass.”

Congress passed in November a “laddered”, continuing resolution, with a deadline for final expenditures of February 2. To fund the government through the remainder of the fiscal year 2024, lawmakers will have to pass an extra spending bill.