Covid-19: US Treasury plans to borrow record $2.9 trn in April-June qtr

The United States Treasury Department said it plans to borrow $2.9 trillion during the April-June quarter to deal with the coronavirus pandemic. According to The Wall Street Journal, this is five times what the United States borrowed at the peak of the 2008 financial crisis.

During the April-June quarter, the US Treasury expects to borrow $2.9 trillion in privately-held net marketable debt, assuming an end-of-June cash balance of $800 billion, an official statement said on Monday.

The increase in privately-held net marketable borrowing is primarily driven by the impact of the Covid-19 outbreak, including expenditures from new legislation to assist