BusinessThe United States could reach the debt ceiling on June 5, according...

    The United States could reach the debt ceiling on June 5, according to Yellen

    This Friday, the Secretary of the Treasury Department, Janet Yellen warned that the deadline in which the United States could reach the debt ceiling is for this June 5while the agreements between the White House and the leaders of the Congress are carried out.

    Although the speaker of the House of Representatives, Kevin McCarthy, announced after the last meeting with President Joe Biden that there is an “agreed principle” to raise the debt ceiling and avoid going into suspension of payments. There is no assurance that congressional approval will be established before June 5.

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    Some analysts estimated this week that the date to reach default would be between the 8th and 9th of next month. The pressure from the Treasury to reach an agreement on the future of the debt remains, considering that a default would cause an “economic catastrophe,” Yellen said.

    Federal payments are already scheduled for June. “We will make more than $130 billion in scheduled payments in the first two days of June, including payments to veterans and beneficiaries of Social Security and Medicare. These payments will leave the Treasury with an extremely low level of resources,” Yellen wrote.

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    The Secretary of the Treasury has insisted that an agreement on raising or not raising the debt ceiling should not be reached until the last minute, since it has caused, for example, that the costs of the loans increase, in addition to exhausting all extraordinary measures.

    “The extremely low level of remaining resources demands that I exhaust all available extraordinary measures to avoid being unable to meet all of the government’s commitments,” Yellen said.

    Keep reading:

    Source: La Opinion

    This post is posted by Awutar staff members. Awutar is a global multimedia website. Our Email: [email protected]


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