United States budget deficit surged in July, up from March 2021

On Wednesday, 13 August, the United States Department of the Treasury reported that the United States budget deficit had skyrocketed to its highest monthly level in more than five years as a result of the surge in health insurance costs and the continuing strain on the national fiscal position by federal debt interest. In addition to a one-month surge, the cumulative deficit of the United States Government in the first 10 months of 2026 was close to $1.8 trillion, exceeding the same amount for the same period in 2025. The total deficit in July amounted to $43.23 billion, an increase of approximately 48 per cent over the same period last year, the largest single-month deficit since March 2021, with a single-month record in July. Expenditure on health insurance amounted to $174 billion that month, up from $103 billion in June, and cumulatively reached $955 billion throughout the year. This was the largest single expenditure in July, well above the $141 billion spent on social security and $104 billion spent on net interest on national debt. In addition, tariff rebates had a budget impact of $33 billion. In addition, as the first day of the month coincided with non-working days, United States revenue was hampered by a $99 billion calendar factor. For many years, Trump has been urging the Fed to reduce interest rates and reduce the cost of debt. Since his nomination to the presidency of Walsh in May, he has stopped criticizing the Fed。