NEW YORK – The Treasury Department said it plans to borrow $276 billion in the fourth calendar quarter of 2009 and end the year with an $85 billion cash balance, including $15 billion for its supplemental financial program.
In its prior estimate, the Treasury said it would borrow $486 billion in the quarter. The reduction in the estimate is based on cash balance adjustments and lower outlays.
In the third quarter, Treasury borrowed $393 billion, compared to its estimates of $406 billion, and ended the quarter with a $275 billion cash balance. The borrowing needs were smaller than expected in the quarter because of lower outlays.
Treasury expects to borrow $478 billion in the first quarter of 2010, and end the quarter with a $45 billion cash balance.
Treasury said it sees TIPs issuance increasing gradually next year.
