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WASHINGTON cheap nike air max 90 woven , Jan. 26 (Xinhua) -- U.S. deficit to gross domestic product (GDP) ratio in 2015 fiscal year will drop to the lowest level since 2007 thanks to the solid economic growth, according to estimates from the Congressional Budget Office (CBO).

In a statement released on Monday, CBO estimates the deficit will amount to 468 billion U.S. dollars in 2015 fiscal year, which runs from Oct. 1, 2014 to Sept. 30, 2015, slightly less than the 483-billion-dollar deficit in 2014. The deficit to GDP ratio will be 2.6 percent this year, the smallest since 2007 and close to the 2.7 percent that deficits have averaged over the past 50 years.

It projects the deficits will remain stable as a percentage of GDP through 2018 but will rise after 2018 as economic growth slows and health and retirement costs rise. The deficit in 2025 is projected to reach 1.1 trillion dollars, or 4 percent of GDP.

According to the statement, the CBO expects the U.S. economy to grow about 3 percent in 2015 and 2016 before slowing down slightly to 2.5 percent in 2017.

Increases in hourly compensation, rising wealth, the recent decline in oil prices, and household formation rate (as more people are more willing and able to set up new homes) will drive consumer spending, business investment and residential investment over the next few years, says the CBO.

It projects the unemployment rate will gradually decrease to 5. 3 percent in the fourth quarter of 2017 which is close to the expected natural rate of unemployment. In the fourth quarter of 2014, the rate stayed at 5.7 percent.

Along with the elimination of slack in the economy, the downward pressure on the U.S. inflation rate will be gradually reduced, says the CBO. It expects the price index for personal consumption expenditures will move up gradually and hit the Federal Reserve's 2 percent target in 2017 and beyond.

by Hu Guangyao

KUALA LUMPUR, Jan. 20 (Xinhua) -- The Malaysian government announced a number of proactive measures Tuesday to handle the changing economic scenario caused by the oil price slump and the worst flood in the country.

In a special address to the nation, Prime Minister Najib Razak said the goverment remained confident that the country's gross domestic product (GDP) will grow by between 4.5 percent to 5.5 percent in 2015.

Economists here believed that Malaysia's GDP growth will slow down to 5 percent this year against 5.7 percent in 2014 as exports of crude oil and palm oil makes much contributions to the nation's economy.

Announcing the revisions to the 2015 which was tabled in October 2014 , Najib said the Budget for 2015 that was announced when crude oil price was hovering above 110 U.S. dollars per barrel is no longer realistic.

He said the falling oil price necessitated a review of fiscal assumptions underpinning the 2015 Budget, with the revised forecast predicting a revenue shortfall of RM 13.8 billion (about 3.94 billion U.S. dollars), or 3.2 percent of GDP in 2015 from 3 percent projected earlier.

Najib set out a strategy to counter external developments and strengthen Malaysia's economic resilience by continuing fiscal reform and consolidation, assisting people and businesses affected by recent floods.

Firstly, to boost exports of goods and services, the government will promote import-substitution services, such as shipping, port, education and professional services and promote tourism.

Secondly, to enhance private consumption, the government will give priority to local contractors to undertake reconstruction works in their respective flood affected areas and intensify promotion of "Buy Malaysia" products.

Thirdly, to accelerate private investment, the government will set up a Services Sector Guarantee Scheme amounting to RM 5 billion (about 1.4 billion U.S. dollars) for small and medium enterprises with maximum financing of RM 5 million (about 1.4 million U.S. dollars) and a 70 percent government guarantee.

Following recent severe flooding in the east coast of the country, the prime minister also announced measures to assist flood-affected people and businesses, and to rebuild damaged infrastructure.

According to him, the government will provide aid worth about RM 2.1 billion (about 600 million U.S. dollars) to flood hit areas for rehabilitation works and welfare programs for flood victims.

Analysts here believed the measures announced by the government is very proactive steps to ensure the country's economic growth amid challenging global economy.

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