Yellen renews pressure on Congress to raise US debt ceiling

WASHINGTON (Reuters) – US Treasury Secretary Janet Yellen on Wednesday again urged Congress to address the national debt ceiling issue, saying it’s unclear how long the Treasury’s efforts to temporarily fund the government will last and citing concerns. economic in pandemic course.

Yellen wrote in a letter to lawmakers on the limitation The government indebtedness that “the most likely outcome is that liquidity and measures” The exceptions will run out in October.

Democrats and Republicans are facing a historic financial crisis if they don’t act, which could trigger a catastrophic default or the temporary closure of some federal operations. Democrat-led Senate and House of Representatives leaders are expected to force a forced vote to raise the $ 28.4 trillion debt limit at the end of September.

The current national debt limit was technically exceeded on July 31, but the Treasury Department circumvents any default through what it calls “extraordinary measures.”

Yellen, that in had previously warned Congress of the default, said the department was not in able to provide a definitive estimate of how long these steps would take, citing “a lack of clarity” and said it would provide lawmakers with updated information again in a second time.

“In a moment in whose families, communities and businesses continue to suffer from the effects of the global pandemic in course, it would be particularly irresponsible to jeopardize the faith and the entire credibility of the United States, “he wrote.

Read More About: Business News

Leave a Reply