The Republican Party in the US Congress House of Representatives has started to prepare an emergency action plan for the Treasury Department in case of failure to reach an agreement between lawmakers and the White House on raising the national debt ceiling. Wrote Washington Post newspaper.
The Republicans’ plan ensures that the Treasury Department only fulfills its obligations on priority payments if the ceiling of the national debt is reached. Take, for example, the interest payment on a loan. Parliamentarians also include social security payments, the Medicare health insurance program.
According to the newspaper, such a plan must be accepted before the end of the first quarter of 2023 (January-March).
“Republicans are poised to threaten not to raise the national debt ceiling without significant spending cuts by the (US President Joe) Biden administration. Economists have warned that failure to raise the debt ceiling could lead to US defaults, panic on Wall Street and the loss of millions of jobs. .
Treasury Secretary Janet Yellen this week warnedHe said that unless the US Congress supports raising the nation’s national debt ceiling once again, it would pose a colossal threat to the United States’ financial system.