The Congressional Budget Office stated on Wednesday that the U.S. deficit is anticipated to increase over the next decade, with a notable portion of government spending allocated to higher interest payments, marking a historic trend.

According to the latest projections from the nonpartisan agency, the deficits are projected to rise from $1.6 trillion in the current year to $2.6 trillion in 2034.

This represents a somewhat less pessimistic forecast for the nation’s fiscal well-being compared to previous estimates, Axios reported.

The deficit is expected to be 5.6% of GDP this year, escalating to 6.1% in 2025, and maintaining that level through 2034.

The CBO highlights in its analysis that such deficits have typically surpassed this GDP share only during economic crises, not during periods of economic prosperity in the U.S.

Concurrently, the public debt is anticipated to increase from 99% of GDP at the close of the current year to 116% of economic output by 2034, reaching the highest level ever recorded.

Written by B.C. Begley