Washington [US], April 28: The US public debt exceeded the threshold of $31.4 trillion in January, and the bill offers a plan to raise the public debt ceiling until March 2024, paving the way for the battle to raise the public debt ceiling in the middle of the presidential campaign, or until debt increased to $32.9 trillion. The bill is said to be unable to pass the Senate and President Joe Biden also vowed to veto the bill. However, this is considered a victory for House Speaker Kevin McCarthy in the public debt battle and establishes the basis for Mr. McCarthy to negotiate and convince Mr. Biden to agree to cut spending.
"We've done our job," McCarthy told reporters after the vote, adding that it was now the Democrats' turn to decide. McCarthy won the victory after several caucuses and last-minute changes aimed at convincing the most conservative Republicans. After that, the White House repeated its position that it would not agree to negotiate the issue of the public debt ceiling. But the Treasury Department will run out of money in the coming weeks if Congress doesn't act, and financial markets have sent warning signals. In 2011, the US government faced the risk of shutdown because the parties did not agree to raise the public debt ceiling in time, pushing borrowing costs higher and hindering investment.
Source: ThanhNien Newspaper