US Treasury announced to raise near USD 3 trillion in Q2 with privately held net marketable debt to fund the measures to counter the coronavirus economic impact. The Q2 sum alone is more than five times the amount raised during the 2008 financial crisis, and more than double the borrowed in 2019.
The Treasury said in a statement: “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 individuals and businesses, changes to tax receipts including the deferral of individual and business taxes from April – June until July, and an increase in the assumed end-of-June Treasury cash balance.”
Additionally, the Treasury expects to borrow USD 677 billion in privately-held net marketable debt, assuming an end-of-September cash balance of USD 800 billion.
