US Treasury Secretary Janet Yellen has announced that she intends to inform the US Congress of expected default dates within two weeks.
“I don’t want to talk about exact dates. It will certainly happen within the next two weeks,” Yellen said in an interview with Bloomberg, which was published on Friday.
Last January, the United States exceeded the statutory debt ceiling of $31.4 trillion, which prompted the US Treasury Department to use emergency measures to continue its financial operations. The US administration has been urging Congress in recent months to raise the debt limit. The Republicans who control the House of Representatives agreed to raise the national debt ceiling on the condition of a significant reduction in budget spending, but the White House rejected these demands, saying that it was ready to discuss spending cuts, but that lawmakers should raise the debt ceiling without any preconditions.
For her part, Yellen warned Congress that the administration may resort to emergency measures with regard to achieving the national debt ceiling as early as June 1. She indicated more than once that in this case the country would face a default on the federal debt, which would lead to an “economic catastrophe” in the country, which could also cause shocks in the global economy. In order to prevent this, US President Joe Biden and Republican leaders in Congress agreed to hold consultations.
This article was originally published by RT.
