According to Fortune, the U.S. Treasury Borrowing Advisory Committee (TBAC) has warned that if the current scale of Treasury auctions is maintained, the U.S. government could face a financing gap of approximately $1.45 trillion in the 2027–2028 fiscal years. Currently, Treasury Secretary Scott Bessent is relying more on short-term Treasury bills to finance the roughly $2 trillion annual fiscal deficit, taking advantage of lower financing costs compared to long-term Treasury bonds. However, this also increases future refinancing and interest rate risks. The annual interest expense of the U.S. federal government has already exceeded $1 trillion. If the Treasury increases long-term bond issuance in the future while the Federal Reserve reduces its holdings of long-term Treasuries, long-term yields could face further upward pressure. https://(wublock123.com)/news/us-treasury-boosts-t-bill-financing-tbac-warns-1-45t-shortfall-66177