WASHINGTON —The U.S. Treasury Department is adjusting its borrowing plans for the next two quarters, reflecting a fine-tuned approach to managing the nation’s financial needs while balancing the economic realities of cash flow and reserves.
This October through December, Treasury expects to borrow about $546 billion in privately-held net marketable debt, with a goal of maintaining a cash balance of $700 billion by year’s end. The figure marks a modest decrease of $19 billion from its earlier projection in July, largely due to a stronger-than-anticipated cash position at the start of the quarter, coupled with slightly reduced cash flow needs.
As the new year begins, the Treasury plans to borrow $823 billion from January through March, aiming for a slightly higher cash balance of $850 billion by the end of March. This outlook reflects the department’s cautious approach to managing resources as it adapts to the evolving economic landscape.
The July to September period this year saw Treasury borrow $762 billion, ending with a cash balance of $886 billion — a bit higher than anticipated. This adjustment was largely driven by a stronger cash reserve than initially forecasted, countering increased cash flows during the quarter.
The Treasury Department will provide further details about its financing plans during the Quarterly Refunding announcement on Wednesday, October 30, 2024, at 8:30 a.m., shedding more light on its strategic approach to fiscal management as it navigates the months ahead.
