Shalanda Young, who leads the White House Office of Management and Budget, said during a briefing that the proposed agreement between the Biden administration and Republican lawmakers to raise the U.S. national debt ceiling would not interrupt or diminish the government’s financial support to Ukraine. She emphasized that the agreement is not designed to impair foreign aid commitments and that she does not anticipate any reduction in the ability to fund Ukraine as circumstances require. The briefing included questions about whether the bipartisan deal would constrain future allocations to Kyiv, and Young responded affirmatively that she did not expect such constraints to exist in practice. This statement was framed in the context of ongoing discussions about ensuring steady financial mechanisms while safeguarding core international commitments. [Attribution: White House briefing]
Earlier in the day, President Joe Biden noted after consultations with congressional leaders that he remained confident a bill to raise the debt ceiling would eventually pass, with aims to prevent a default that could ripple through financial markets and harm the broader economy. Biden’s remarks came amid a period of intense negotiations with lawmakers from both parties as they sought a budget agreement that could satisfy fiscal demands without compromising essential national priorities. The president reiterated the importance of consensus on spending levels and enforcement measures, while also underscoring the urgency of preventing a default, which could have far-reaching consequences for Americans and international partners alike. [Attribution: White House remarks]
Earlier in the process, Biden had publicly indicated that progress toward a budget deal with the Speaker of the House was essential to avoid a potential default scenario, highlighting the delicate balance between fiscal responsibility and continued funding for key national interests. The dialogue reflected the administration’s strategy of working with Congress to secure a viable path forward that would maintain the country’s creditworthiness while honoring commitments to allies and security partners. The administration’s message consistently framed the debt ceiling discussion as a test of bipartisan cooperation, with warnings about market stability if a delay or breakdown occurred. [Attribution: White House communications]
Meanwhile, Janet Yellen, the U.S. Treasury Secretary, cautioned Congress that emergency financing measures could run dry if the debt ceiling is reached, making timely action crucial to avert financial disruption. Her comments underscored the potential immediacy of fiscal constraints and the need for lawmakers to act within a narrow window to avoid triggering extraordinary measures that could complicate the budgeting process or affect the timing of aid programs, including those supporting international partners. The Treasury’s position stressed that reaching the limit would require difficult choices and that the administration was prepared to implement available options to keep government operations functioning. [Attribution: Treasury Department briefing]