Washington, Jan 28 (AP) A new government report says that the US budget deficit is set to hit USD 897 billion this year and predicts that economic growth will slow as the effects of President Donald Trump’s tax cut on business investment begin to drop off.Also Read - Shivangi Joshi Slays in Hot Black Plunging Neckline Gown on Her 27th Birthday, Inside See Pics From Bash

The Congressional Budget Office Report predicts a USD 118 billion increase over last year’s USD 779 billion deficit. Also Read - Massive Fire Engulfs Vaishno Devi's Trikuta Hills, Yatra Continues Through Traditional Track

The CBO predicts in a report released Monday that the economy will grow by 2.3 per cent this year, a slowdown from 3.1 per cent last year. Also Read - Viral Video: Lucknow Super Giants’ Players Recreate ‘Chhoti Bachi Ho Kya’ Dialogue & It's Too Funny | Watch

The report comes as the government is reopening after a 35-day partial shutdown. The CBO says the shutdown will have a modest negative impact on the economy.

The report lands in a divided Washington, where neither Trump nor Democrats controlling the House are expected to make curbing the deficit a priority. (AP) ZH ZH

This is published unedited from the PTI feed.