CBO Estimates $38 Billion Spent on Iran War With Monthly Costs Rising

The Congressional Budget Office estimates that the United States has spent roughly $38 billion on the war with Iran through Aug. 1, with ongoing costs of about $2 billion to $3 billion per month. The expenses include expended munitions, lost equipment, increased flight operations, fuel and other military costs, while rebuilding depleted stockpiles could take at least five years. An earlier Pentagon estimate put the cost at $37.5 billion, and a separate inspector general report estimated $33.4 billion through June 29, including $22.3 billion in munitions and $3.7 billion in equipment losses. The reports also identified strategic ammunition shortages and production bottlenecks, while the CBO analysis noted that its findings were limited because the Defense Department did not provide requested information. The conflict’s broader economic effects, including higher fuel prices and an estimated 0.5-percentage-point increase in inflation, are not fully reflected in the direct-cost total and are becoming a political issue ahead of the midterm elections.