US faces risk of default

Treasury Chief Yellen urged to freeze the ceiling of the state debt by December 15

December 15th. She believes that after this date, there may be a risk of suspension of the work of the government (shutdown) due to lack of funds and the inability to pay the obligations. Her words are quoted on the ministry's website.

“There are scenarios in which the Treasury will not have enough remaining resources to continue funding the US government beyond that date,” Yellen said. The US Congress should take action on a debt ceiling to “ensure full US confidence” and to prevent the country from facing default, she added.

US President Joe Biden signed into law an infrastructure plan totaling 1.2 trillion dollars, which the House of Representatives, after numerous controversies, was able to approve in early November.

Earlier, the House of Representatives of the US Congress passed a bill to temporarily increase the public debt ceiling by 480 billion dollars, which in theory could prevent default. According to the Ministry of Finance, this will allow to cover expenses until December 3.

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