The White House projected Monday that the federal deficit would spike to $1.65 trillion in the current fiscal year, the largest dollar amount ever, adding pressure on Democrats and Republicans to tackle growing levels of debt.
The new estimate is part of Mr. Obama’s proposed budget for fiscal year 2012, which becomes public Monday morning.
Mr. Obama is proposing $3.73 trillion in government spending in the next fiscal year.
At $1.65 trillion, the administration’s projection for the 2011 deficit is significantly larger than the $1.48 trillion estimated by the non-\partisan Congressional Budget Office a few weeks ago. In fiscal year 2010, the deficit was $1.29 trillion.