US deficit increases to 1.3 trillion dollars, less than predicted

The figure was the second-largest deficit ever, but remained lower than government forecasts that had predicted a far larger figure earlier in the year.
The deficit for the fiscal year that ended September 30 stood at 8.7 per cent of gross domestic product.
President Barack Obama's administration had predicted a 1.65 trillion dollar budget in February when the 2012 budget was presented - that figure is 21 per cent higher than the actual deficit.
The 2011 deficit was roughly the same as the previous year, when it stood at 1.29 trillion dollars.
Government revenues rose 6.5 per cent from the previous year, despite tax cuts and other measures designed to boost the sagging economy, as more money came in through income taxes. Expenditures increased 4.2 per cent.
The Treasury attributed the large deficit to efforts to fight the finance and economic crisis in 2008 and 2009.//DPA