The Troubled Asset Relief Program is expected to recover all but $42 billion from its disbursements to financial institutions, a Treasury Department official said Monday.
The official, who spoke on condition of anonymity, said the new figure was based on a Government Accountability Office report due Wednesday.
The Treasury projected in August that it would lose $110 billion on the program, but rapid repayments by banks have resulted in a reduced loss projection.
So far, banks have repaid $71 billion of Tarp funds, and Bank of America Corp.'s planned repayment will bring that figure to $116 billion.
That is equal to roughly 32% of the $370 billion distributed to banks through Tarp. The Treasury expects to have $175 billion paid back by the end of 2010, the official said.
