The U.S. is expected to reach its debt limit next Thursday, forcing the government to start using “extraordinary measures” to prevent a default, Treasury Secretary Janet Yellen told congressional leaders.
The U.S. is expected to reach its borrowing limit next Thursday, forcing the government to start using “extraordinary measures” to prevent a default on its debt, Treasury Secretary Janet YellenThe move will accelerate the debate in Congress about how to pass a debt limit increase.
The Treasury only has a finite amount of time to avoid a default using extraordinary measures — in this case, suspending investments in certain government retirement funds. Estimates are that the “X date” could be hit around the middle of this year. Yellen said it is unlikely that cash and extraordinary measures will be exhausted before early June.
Yellen’s letter formally kicked off what’s expected to be the most contentious debt ceiling battle in history, even after a series of recent episodes where Republican opposition brought the U.S. to the brink of being unable to pay its bills. The fight is a looming cloud over the economy because the market for U.S. Treasury securities is a bedrock of the global financial system, and volatility could impact lending products like mortgages. White House officialsThe debt ceiling is the legal limit in which the U.S. can borrow to pay for its existing obligations, including Social Security, Medicare and military salaries. The current limit is nearly $31.4 trillion.
Indonesia Berita Terbaru, Indonesia Berita utama
Similar News:Anda juga dapat membaca berita serupa dengan ini yang kami kumpulkan dari sumber berita lain.
U.S. will hit its debt limit Thursday, start taking steps to avoid default, Yellen warns CongressTreasury Secretary Janet Yellen wrote House Speaker Kevin McCarthy, 'It is unlikely that cash and extraordinary measures will be exhausted before early June.'
Baca lebih lajut »
Yellen says U.S. will hit its debt limit on ThursdayTreasury Secretary Janet Yellen sent a letter to top U.S. lawmakers on Friday warning the U.S. is expected to hit its debt limit next week. 'I am writing to...
Baca lebih lajut »
Yellen tells Congress US expected to hit debt limit ThursdayWASHINGTON (AP) — Treasury Secretary Janet Yellen notified Congress on Friday that the U.S. is projected to reach its debt limit on Thursday and will then resort to “extraordinary measures” to avoid default.
Baca lebih lajut »
Yellen tells Congress US expected to hit debt limit ThursdayTreasury Secretary Janet Yellen has notified Congress that the U.S. is projected to reach its debt limit on Thursday and will then resort to “extraordinary measures” to avoid default
Baca lebih lajut »
Yellen tells Congress US likely to hit debt limit ThursdayThe debate over raising the debt ceiling will almost certainly result in a political showdown between newly empowered GOP lawmakers who now control the House and President Joe Biden and Democrats, …
Baca lebih lajut »
Yellen tells Congress US likely to hit debt limit ThursdayPast forecasts suggest a default could instantly bury the country in a deep recession.
Baca lebih lajut »