The U.S. deficit dropped 2.2%, but it's still massive

Group 1 - The US budget deficit for fiscal 2025 is $1.78 trillion, which is $41 billion or 2.2% lower than the previous year [1][2] - Record tariff revenue of approximately $200 billion, a more than 140% increase from 2024, has contributed to offsetting high interest payments on national debt [1][2] - Interest costs reached a record $1.2 trillion, surpassing defense spending and only trailing Social Security and Medicare [2][3] Group 2 - Total government revenue collected was $5.2 trillion, while expenditures exceeded $7 trillion [3] - The deficit to GDP ratio is projected to decrease to 5.9%, the lowest since 2022 [2] - The fiscal situation shows an improvement on paper, but the deficit remains significant [3]