Treasury expects to borrow $441 billion in first quarter
The U.S. Treasury expects to borrow $441 billion in the first quarter, $71 billion lower than previously estimated, according to a statement Monday. The new forecast includes an end-of-quarter cash balance of $210 billion. Analysts said debt ceiling constraints and the uncertain cash flow impact of the tax bill may make it difficult for the government to project borrowing. Experts say the government will hit the debt ceiling in early March unless Congress acts to allow borrowing. During the second quarter, Treasury said it expects to borrow $176 billion in net marketable debt with cash balance of $360 billion. During the October-December quarter, Treasury borrowed $282 billion in net marketable debt and ended with a cash balance of $229 billion. The government had estimated borrowing of $275 billion for the quarter.
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