US Plans To Borrow Over $2 Trillion In 2nd Half Of 2020, Partly For Future COVID-19 Relief

WASHINGTON (UrduPoint News / Sputnik - 04th August, 2020) The US Treasury Department factored expectations that Congress will approve a new COVID-19 relief bill for at least $1 trillion into its borrowing estimates for the final six months of the year, which are expected to exceed $2 trillion, according to a press release.

"During the July-September 2020 quarter, Treasury expects to borrow $947 billion," the release said on Monday. "During the October-December 2020 quarter, Treasury expects to borrow $1.216 trillion in privately-held net marketable debt.

The estimates "assume $1 trillion of additional borrowing" needed in anticipation of additional legislation from Congress in response to the pandemic, the release added.

Congress remained deadlocked over the next relief package on Monday, with Democrats backing a $3 trillion plan and Republicans signaling a willing to spend $1 trillion on what would be the second major piece of pandemic legislation.

The CARES Act approved in March allocated more than $2 trillion to respond to the novel coronavirus pandemic.