The federal government budget deficit is set to soar in the coming years with the rise of spending on health care programs and Social Security as well as interest costs, the Congressional Budget Office projected Wednesday The nonpartisan agency's budget outlook is the latest with a gloomy long-term view for the nation's debt and could crowd out private investment, slow growth and risk a crisis. The federal deficit is on track to be 5.8% of gross domestic product (GDP) in the 2023 fiscal year, before declining to 5% in 2027 — but the shrinkage will be short-lived. It will grow every year after reaching 10% of GDP by 2053, per the CBO. From 2023 to 2053, deficits will average 7.3% of GDP — more than double their average over the past half-century. Federal debt held by the public will hit 98% of GDP this year, and is on track to surpass an all-time high in 2029 when it reaches 107% of GDP.