“The national debt of the US: the head of the Ministry of Finance requires action from the Congress. The US Treasury Secretary Janet Yellen warned the Congress about the need for emergency measures from January 14 due to the debt ceiling. Trump supported repealing the debt limit, even though his supporters opposed it.”, — write on: unn.ua
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US President-elect Donald Trump has backed repealing the debt ceiling, despite some of his supporters opposing actions to raise the debt under the Democratic administration.
The debt ceiling, which reflects the amount the US government is allowed to borrow to pay for services including Social Security and Medicare, was suspended until January 1, 2025, when the Fiscal Responsibility Act of 2023 took effect.
The outstanding debt will decrease by about $54 billion on Jan. 2 due to “planned purchases of non-marketable securities held by the federal Medicare Trust Fund,” Yellen wrote in a letter to House Speaker Mike Johnson, a Republican.
However, she also added that the US Treasury Department “expects to reach a new limit between January 14 and 23, at which point the Department will need to start taking emergency measures.”
“I respectfully urge Congress to act to protect the reputation and credibility of the United States,” Yellen added.
Repeal of the debt limit will likely require support from Democrats, according to Axios.
The US national debt has reached a record 34 trillion dollarsJanuary 3 2024, 07:50 • 24070 views