Last fiscal year’s deficit accounted for 2.5 percent of the U.S. gross domestic product, compared with 2.8 percent in FY 2014, and was $144 billion lower than President Barack Obama’s projection, the Treasury said Thursday.
“Today’s report reaffirms that we can invest in growth and opportunity and put our nation’s finances on a strong and sustainable path,” said Shaun Donovan, director at the Office of Management and Budget.
“Under the President’s leadership, the deficit has been cut by roughly three-quarters as a share of the economy since 2009 – the fastest sustained deficit reduction since just after World War II,” added Treasury Secretary Jacob Lew.
The U.S. government collected $3.2 trillion in tax revenue during FY 2015, up $228 billion from a year ago.
Government expenditures grew 5 percent to $3.7 trillion, partly due to spending increases in Medicare, Medicaid and Social Security programs, the Treasury noted.
The departments of Education and Veterans Affairs, the Office of Personnel Management and the Railroad Retirement Board were among the agencies that increased their spending over the last fiscal year.
The Treasury added the 2015 public debt amounted to $13.1 trillion, $337 billion more than last year’s figure.