Six Months Into Iran War, US Bill Hits $38 Billion

WASHINGTON, Sep 15: The six-month US war with Iran has cost Washington about $38 billion so far, with expenses projected to rise by around $3 billion a month if the conflict continues, according to a new assessment by the nonpartisan Congressional Budget Office (CBO).

The CBO said the war could also push US inflation 0.5 percentage points higher during the first three months of 2027, while the rapid use of US weapons has severely depleted military stockpiles. Replenishing some critical munitions could take up to five years. The assessment, which covers costs through August 1, did not include some recent expenses, including damage from attacks on US installations and commercial vessels in the region, or interest costs associated with borrowing to finance the war.

The mounting costs have added pressure to the US budget while raising concerns about military readiness. Defense Secretary Pete Hegseth previously told lawmakers that the war had cost about $37.5 billion and sought nearly $90 billion in emergency funding to replenish depleted munitions.

The CBO said the shortage of critical weapons, including missile interceptors, could limit the Pentagon's ability to respond to another major conflict. The report also warned that disruptions around the Strait of Hormuz and attacks on regional energy infrastructure have pushed up energy prices.

Eighteen US service members have been killed in the conflict, according to the report. The United States' public debt surpassed $40 trillion in August, adding to concerns over the fiscal impact of the prolonged war.