The U.S. Treasury Department said Monday that it expects to borrow 425 billion dollars of privately-held net marketable debt in the fourth quarter of 2018.

The estimated borrowing for the fourth quarter in 2018, which stands at 15 billion dollars, is lower than the department's estimation three months ago, driven by changes in cash balance assumptions, said the Treasury Department.

Treasury also expects to borrow 356 billion dollars in privately-held net marketable debt during the first quarter next year, assuming a closing cash balance of 320 billion dollars at the end of March in 2019.

The department will release additional financing details relating to Treasury's Quarterly Refunding on October 31.

According to the Treasury Department, U.S. government borrowing in 2018 could reach nearly 1.34 trillion dollars, which is more than twice of the amount of the previous year as the Trump administration's budget deficit keep rising.

A newly-released report by the Treasury Department showed U.S. budget deficit rose to 779 billion dollars in the fiscal year 2018 ending Sept. 30, the highest since 2012, due to tax cut and increased government spending.

Government spending grew by 3.2 percent from the previous fiscal year, while government receipts only rose by 0.4 percent. The budget deficit as a share of GDP rose to 3.9 percent, up from 3.5 percent in the previous fiscal year, the report said.

The Trump administration's tax cut is expected to add 1.46 trillion dollars to federal government deficits over the next 10 years, according to an estimate by Congress's nonpartisan Joint Committee on Taxation.