June 10, 2023

South Sudan News Agency

Complete English News World

U.S. debt is huge

After several weeks of debate, on Thursday night US time, the US Legislature voted to suspend the US debt ceiling, which is currently set at $ 28,400 billion, writes MTI.

The 50-48 Senate of 50 Democrats and 50 Republicans passed a bill allowing the debt ceiling to rise to $ 480 billion. Without raising or suspending the debt ceiling, the United States went bankrupt after October 18.

Janet Yellen The finance minister called a letter to Congress last week to raise the government’s debt ceiling. Yellen warned lawmakers that if the debt ceiling is not raised by October 18, “the United States (…) is likely to face a financial crisis and recession.”

On Monday he drew attention Joe Biden The U.S. president has said he cannot guarantee the United States will be able to repay its debt after October 18. “With dire consequences, I do not want to accept that this should be the end, but how can I guarantee? If I knew, I would do it. But I do not know,” the president said Monday.

Biden on Wednesday called on executives of large financial institutions to immediately suspend credit limits, with the imminent deadline risking historic bankruptcy, which is like a “meteorite that could break the economy and financial markets”.

Senate leaders finally announced Thursday that they had agreed to lift the debt ceiling.

Nancy Pelosi, The Democratic Speaker of the House of Representatives in Washington on Thursday recalled suspended MPs and said he was ready to vote to raise the debt ceiling if the Senate approves it. A White House spokesman said in a statement that President Biden would sign a bill to raise the debt ceiling after it is passed by Congress.

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