Published Aug 12, 2026, 1:51 PM EDT
Defense Secretary Pete Hegseth has previously said that not properly funding the Pentagon is "greatest threat" the U.S. faces.
As U.S. Defense Secretary Pete Hegseth has warned Congress that not appropriating roughly $1.5 trillion towards the Pentagon's next fiscal year budget is the "greatest threat" the country faces, a new budget report shows that the nation's rampant spending exceeds the Defense Department's own budgetary aspirations. The United States borrowed $1.8 trillion in the first ten months of Fiscal Year 2026, according to the latest Monthly Budget Review from the Congressional Budget Office (CBO). That amount, which includes $431 billion borrowed in July alone, is roughly $169 billion more than the deficit recorded during the same period last fiscal year. Revenues rose by $139 billion (3%) and outlays increased by $308 billion (5%), per the CBO. That comparison is affected by a shift in the timing of certain payments. For example, payments that otherwise would have been due on Aug. 1—which fell on a weekend—were shifted into July.
The Congressional Budget Office's estimates for Fiscal Year 2026 spending and borrowed money, totaling $1.8 trillion in the first 10 months. (Congressional Budget Office/U.S. Treasury Department)
