February 15, 2023, 22:52 – BLiTZ – News The United States may face a default in July-September of this year if the national debt limits are not raised. The Congressional Budget Office warns of this.
The agency’s report provides the following information: “If the public debt limit is not changed, then the government’s ability to attract borrowing using extraordinary measures will be exhausted between July and September 2023, that is, in the fourth quarter of the current financial year.”
The US administration has urged lawmakers to quickly raise borrowing limits or suspend them without preconditions. However, the republican opposition demanded negotiations on the topic of reducing budget spending.
The paper also states that if the debt limit is not raised or suspended until the potential for extraordinary measures is exhausted, then the country’s leadership will not be able to fully pay its obligations.
Thus, according to the report of the department, as a result, the government will be forced to postpone the production of payments for certain activities, as well as default on debt obligations.
As the BLiTZ reported earlier, Republican Speaker of the House of Representatives of the US Congress Kevin McCarthy said that public debt is the most significant threat to America.
