The warning from the Treasury secretary is serious: Either the Republicans will come to terms with the president, or there will be problems
On Monday, the US Treasury Secretary warned that the country may not have the money to pay its debts from June 1. Thus, Janet Yellen puts pressure on Congress, which has not yet raised the US debt limit.
Pressure that also affects the president, Joe Biden, who will have to negotiate with Republicans to raise the debt ceiling to prevent the country from defaulting.
A warning that renews bipartisan urgency in Congress for an agreement, knowing that its absence could shake markets already weakened by recent bank failures.
“Given the outlook, it is imperative that Congress act as quickly as possible to raise or suspend the debt limit in a way that provides long-term certainty for the government to continue making its payments,” Janet Yellen warned.
Even the Republicans accepted the increase in debt, but in exchange demanded more public spending. The Democrats agreed, but Joe Biden reneged on the law, creating the impasse that now hangs over Washington.
Joe Biden defended the decision, saying that the measure intended by the Republicans will affect millions of families, while benefiting many companies, including those operating in the oil sector.
A meeting is now expected between the president and Republican House Speaker Kevin McCarthy. This could lead to the expected solution that will make public accounts in North America work again, which are a month away from the freeze.
A meeting could take place on May 9, according to The Washington Post, which reports that Joe Biden has invited four members of Congress to a meeting at the White House. One of them, as confirmed to Punchbowl News by the president himself, will be Kevin McCarthy.
The US reached the limit of $31.4 billion (about 30 billion euros) in January, forcing the Treasury Department to find alternative ways to ensure the country continues to meet its obligations.
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