As the fateful assessment of the treasury approached, next Thursday, in which the government would run out of money, he insisted on the Washington convention.
According to confirmed press reports, the deal will cover the US $31 trillion debt over two years, meaning there will be no repeat of the current drama before next year’s presidential election.
Republican House Speaker Kevin McCarthy told reporters on Thursday that negotiations had “made progress” but added: “Nothing is done until everything comes together.”
“We passed the bill. No one else in Washington did. Raise the debt limit, lower our spending, pay back the lost money and let go of what’s holding us back,” he added.
There is increasing pressure for some kind of agreement that allows the government to borrow more to cover existing liabilities.
According to the Treasury Department, for six days the government could not meet domestic expenses and meet foreign creditors.
Other optimistic estimates give a little more than two more weeks before the cataclysm, which would trigger falling markets, job losses and recessions.
Because Monday is Veteran’s Day, members of Congress left Washington for 10 days. And, to the dismay of Democrats, Biden himself will head to his official resting place in Camp David and then to his home in Delaware.
However, Wally Adeyemo, the undersecretary of the Treasury, told CNN that both Biden and McCarthy are focused on avoiding disaster.
“The president decided to speak” [McCarthy] He said this: we will have something before June,” Adeyemo said.
“The president will have to make sure we have faith with the Republicans, because the alternative is disastrous for all Americans,” he added.
“I will not default,” Biden said Thursday.
Raising the debt ceiling is a policy that is usually approved without much controversy. It simply allows the government to lend money to allow bills that have already been made through the financial system.
Republicans are talking about responsibility for the $31 trillion national debt. The White House accuses the Republican opposition, which controls the House of Representatives, of holding the economy hostage.
Democratic Minority Leader Hakeem Jeffries on Thursday accused Republicans of risking a “dangerous default in their own party’s crisis.”
Economists have been talking for months about economic disaster if the government shuts down. Even senior military commanders gave their forecast on Thursday, warning that there will be a negative crisis in the forces.
“Because of that, it’s easily affected. So our big exercises would be delayed or blocked in many cases,” Mark Milley, chairman of the Chief of Staff, told reporters.
McCarthy indicated that the representatives would immediately return to Washington if the agreement was closed and that it would be decided in the House.
A leading Republican showed a CNN poll this week in which 60% of those questioned said an increase in the debt ceiling should be accompanied by cuts, although 51% of those polled in a Monmouth University poll said they wanted to secede. two constitutions.
“We know where our differences lie and we will continue to come to the table to try to resolve the issue,” McCarthy said.