The U.S. federal government registered a budget deficit of about 59.7 billion U.S. dollars in June, sharply lower than the previous month, the U.S. Treasury Department reported on Thursday.

The federal government raked in a revenue of 260.2 billion dollars, 44 percent higher than the previous month. It registered outlays of 319.9 billion dollars last month, up 4.8 percent from the level of May, said the department.

The combined budget deficit in the first nine months of the 2012 fiscal year starting in October 2011 totaled 904.2 billion dollars, 6.8 percent lower than the imbalance for the same period of last fiscal year. Revenues were up 5.2 percent through June.

However, the country is still on track for a deficit of over 1 trillion dollars for the fourth consecutive fiscal year.

The Congressional Budget Office (CBO), a non-partisan budgetary and economic research agency for the U.S. Congress, predicted that the federal government would run a budget deficit of about 1.17 trillion dollars in the current fiscal year which ends on September 30, a slight reduction from the 1.3-trillion-dollar budget gap recorded in the 2011 fiscal year.