2023-05-16 01:37:43
Will the world’s largest economy find itself unable to honor its financial commitments next month? In a letter to Republican Speaker of the House of Representatives Kevin McCarthy, Treasury Secretary Janet Yellen indicated that “the Treasury will probably no longer be able to meet all of the government’s obligations if Congress has not acted to raise or suspend the debt limit in early June, and potentially as early as June 1.”
This June 1 date was published in early May, and was maintained on Monday, “with additional information now available,” Janet Yellen said in her letter, adding that the Treasury Department will publish an update to this date next week. date.
Joe Biden “optimistic” on a congressional agreement
Joe Biden’s Minister of Economy and Finance also, in this letter, urged Congress to quickly seal a deal, stating that “waiting until the last minute … can cause serious damage to businesses and to consumer confidence, increase short-term borrowing costs for taxpayers, and hurt America’s credit rating.
Joe Biden said he was “optimistic” on Sunday. But Kevin McCarthy spoke to him on Monday of “positions (which) are still very far apart. It doesn’t seem to me that (the White House and the Democrats) want a deal. »
The American president must meet this Tuesday, May 16, the leaders of the parliamentary opposition, including Kevin McCarthy, to try to avoid an American default, confirmed the Treasury Department. After a family lunch in Philadelphia (northeast), Joe Biden replied in the affirmative to journalists who asked him about the holding of this meeting.
Joe Biden, Kevin McCarthy and three other parliamentary leaders had originally planned to meet last Friday, after a first round of talks without much progress on May 9. But the meeting was postponed, and the teams of the various protagonists have been negotiating ever since.
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