MNI BRIEF: US Deficit-to-GDP Eases To 5.9% In Fiscal Year 2025

The United States federal budget deficit totaled USD1.775 trillion in fiscal year 2025, 2% lower than last year’s deficit of USD1.817 trillion, the Treasury Department said Thursday, estimating the deficit-to-GDP eased from 6.3% in 2024 to 5.9% in 2025 on a growing economy. 

September 2025 had a monthly surplus of USD198 billion, USD118 billion (147%) higher than last September’s surplus of USD80 billion. Receipts over the fiscal year were up 6% and outlays increased 4% compared to 2024, the department's data showed.

This week the IMF warned the world’s largest economy needs to put its finances in order, while Treasury Secretary Scott Bessent said the deficit-to-GDP ratio has room to come down to a 3% range. 

The government brought in USD202 billion in gross customs duties in the fiscal year, a 142% increase compared to the prior year. In September alone, Treasury took in USD30 billion in customs. 

The U.S. government paid a record USD1.216 trillion over the year, up 7% from the prior year, and USD348 billion more than was paid for defense military programs. The weighted average interest rate was 3.36%.