CBO: Federal deficit will hit $3 trillion this year

(AP)-  The Congressional Budget Office says the federal budget deficit will again hit $3 trillion this year.

That’s $745 billion more than its estimate five months ago as it takes into account the cost of President Joe Biden’s $1.9 trillion coronavirus rescue plan.

In an updated forecast, the CBO said the deficit for the current 2021 budget year, which ends Sept. 30, will be the second-largest in history but slightly lower than last year’s record deficit of $3.13 trillion.

The higher deficit will push federal debt to 102.7% of the total economy this year up from 100.1% of the economy last year.

Both figures were the highest debt levels since the end of World War II.