FROM THE OFFICE OF PUBLIC AFFAIRS

The Treasury Department announced on Monday that its net market borrowing for the January – March 1997 quarter is estimated to be $50 billion with a cash balance of $20 billion on March 31.  The Treasury also announced that net market borrowing for the April – June 1997 quarter is estimated to be a paydown in the range of $10 to $15 billion with a cash balance of $35 billion on June 30, 1997.

In the quarterly announcement of its borrowing needs on October 28, 1996, the Treasury estimated net market borrowing for the January – March quarter to be in the range of $50 billion to $55 billion, assuming a $20 billion cash balance on March 31. 

Actual net market borrowing for the October – December 1996 quarter was $41.3 billion, while the end-of-quarter cash balance was $32.8 billion.  On October 28, the Treasury estimated net market borrowing for the October – December quarter to be $48 billion, with a $30 billion cash balance on December 31.  The combined $9.5 billion improvement was the result of higher than estimated receipts and lower than estimated outlays.

 The regular quarterly Press Conference will be held at 1:00 PM on Wednesday, February 5, 1997.