Biden summons congressional leaders to avoid ‘default’

president of the United States, Joe BidenTomorrow, he will meet with Republican and Democratic leaders in Congress Open negotiations to raise the country’s debt ceiling and avoid suspension of payments.

Chancellor of the Exchequer , Janet Yellenwarned yesterday that The United States faces a “constitutional crisis” if the debt ceiling is not raised. Last week, Yellen warned about it p

president of the United States, Joe BidenTomorrow, he will meet with Republican and Democratic leaders in Congress Open negotiations to raise the country’s debt ceiling and avoid suspension of payments.

Chancellor of the Exchequer , Janet Yellenwarned yesterday that The United States faces a “constitutional crisis” if the debt ceiling is not raised. Last week, Yellen warned about it The public treasury will run out of money from June 1 If there is no agreement before that date to raise the debt ceiling – currently set at $31.4 trillion – it will not be able to meet its financial obligations to third parties.

As Chief Treasurer, for Leylin, this issue became her Top priorityto an extent Shorten their participation in the meeting held by the G7 economic ministers This week will be held in Japan.

If there is no agreement, The United States faces suspension of paymentsWhat will happen devastating effects not only on its economy, already affected by the recent crisis in the banking sector, but it will also have a contagious effect In the rest of the countries, as long as the dollar is the international reference currency.

in this context, Bidenwhich has so far refused to sit down to negotiate with Congress, especially with the Republican-controlled House of Representatives, has given up trying to reach an understanding and He will meet with the leaders of the two councils tomorrow. However, Analysts are not confident that these first talks will be very fruitfulbearing in mind the letters the president dedicated this weekend to governors, accusing them of “wanting to cut off Medicare for veterans” or “remove home care for the elderly.”

Biden’s response comes a few days after it Kevin McCarthyThe Republican leader in the House of Representatives was introduced last week A bill to raise the debt ceiling in exchange for a significant reduction in the White House’s social policies. As the election campaign approaches, both sides are more interested in informing voters that it is the other’s fault if a default occurs than in trying to avoid it.

Given the meeting that will take place on Tuesday, in which the Democrats will also participate Hakeem Jeffries (House of Representatives) f Chuck Schumer (Senate), in addition to the Republican Mitch McConnell (conservative minority leader in the senate), Biden will try to reach an agreement without making concessions on his social budget: “We are not a delinquent country; the United States pays its bills, and does not use a catastrophic default as a bargaining chip.”

His goal is for Congress to agree to raise the debt ceiling, and later negotiate a 2024 cut; While the Conservatives want guarantees of savings in the public deficit.