The military conflict between the US and Iran, which has been ongoing for six months, is putting significant pressure on the American government budget. According to a report by the US Congressional Budget Office (CBO), expenditures in this war have reached approximately $38 billion to date. Furthermore, it is projected that monthly spending will increase by another approximately $3 billion, based on expenditure data up to August 1st.
According to the CBO, the consequences of this conflict are not limited only to the government budget; they may also affect ordinary citizens. The report suggests that due to the war, inflation in the US could rise by about 0.5 percent in the first three months of 2027. Thus, the economic impact of the military campaign against Iran may manifest in the coming months.
A large amount of weaponry, estimated at approximately $22 billion, including shells and missiles, has been used during this conflict. The CBO notes that replenishing US weapon stocks could take about five years. The report also points to the possible impact of shortages of critical weaponry, especially missile interceptors, on US military readiness.
Moreover, the CBO warns that if a major future military conflict involving China and Taiwan occurs, the existing weapons deficit could affect the ability of the US military to respond. This means that the war with Iran not only increases current military spending but also affects America's future military preparedness.
Previously, on July 21st, US Secretary of Defense Peter Hegset stated during Senate hearings that the cost of the war with Iran was approximately $37.5 billion, but the CBO figure rose to $38 billion.
Despite this, the Trump administration rejected the CBO's claims about weapon shortages. Anna Kelly, White House Press Secretary, described Trump's attacks on Iran as decisive actions to protect the interests and citizens of the US. Shin Parnell, Pentagon Press Secretary, stated that the US military possesses the necessary weaponry to act under presidential orders.
It is important to note that the CBO figure does not yet reflect total expenditures; it does not include costs for recent attacks in the Strait of Hormuz and US bases in the region, nor interest on loans taken for the war, which could lead to a further increase in total costs.
To date, 18 US service members have died in this war, meaning that the price of the conflict for America is being paid not only in billions of dollars and rising inflation but also in human lives.