In this photo released by the International Monetary Fund, IMF Managing Director Christine Lagarde, right, listens to German Finance Minister Wolfgang Schauble following the filming of the BBC World Debate “Rescuing the Global Economy: What next?” at the annual IMF and World Bank meetings in Tokyo Friday, Oct. 12, 2012. (AP Photo/Stephen Jaffe, IMF) EDITORIAL USE ONLY
TOKYO (AP) — The United States is making progress on getting its fiscal house in order though much more needs to be done, Treasury Secretary Timothy Geithner told fellow financial leaders Saturday. The comment came just hours after the U.S. government announced that the budget deficit had topped $1 trillion for a fourth straight year despite a modest improvement thanks to stronger economic growth.
“It is important that we in the U.S. enact a balanced framework to bring down our fiscal deficit and debt over several years, while continuing to provide support for jobs and growth in the short term,” Geithner told a meeting of the International Monetary and Financial Committee during the annual meeting of the IMF and World Bank, which is being held in Tokyo.
The Treasury Department said Friday that the deficit for the 2012 budget year totaled $1.1 trillion, though a 6.4 percent increase in tax revenues thanks to stronger growth helped contain the deficit.
The risk of the U.S. running into a “fiscal cliff” of tax increases and deep spending cuts next year unless the Obama administration and Congress resolve a deadlock over the budget Login to read more