Representatives from the office of US President Joe Biden and lawmakers in the Republican-led House of Representatives face a critical deadline to raise the national debt limit. The target date cited in discussions is June 5, 2023, a line in the sand that has kept markets and lawmakers attentive. This timeline was communicated by Kevin McCarthy, the Speaker of the House, and relayed by TASS.
Asked whether a deal could be sealed by that date, McCarthy indicated confidence. The speaker noted that negotiations over the debt limit have shown progress, with several key points still to be clarified. He stressed that both parties are nearing a breakthrough, though some details must be settled before any agreement is announced.
Earlier in the week, Pavel Samiev, Managing Director of the analytics firm BusinessDrom, commented that lingering disagreements between Republicans and Democrats about raising the debt limit could accelerate financial market stress and the risk of default. He warned that a compromise might only delay default rather than fully resolve underlying fiscal tensions.
In a related briefing, President Biden stated that aides in Congress and Republican leaders were very close to aligning on measures to raise the debt ceiling to avert a default. The remarks underscored the high stakes of the talks and the political sensitivity around fiscal policy, with both sides publicly emphasizing the urgency of a timely agreement. Source: TASS