United States Treasury has warned that the US government will be unlikely to meet payment obligations by early June if the debt ceiling is not raised.
The date is earlier than the Treasury estimated in January, indicating that the United States financial situation is more precarious than previously thought.
In a letter to Speaker of the House Kevin McCarthy, published on Monday, US Treasury Secretary Janet Yellen asked Congress to increase the government's debt ceiling before this date or to suspend its implementation in order to prevent economic turmoil.
After reaching the borrowing cap of $31.4 trillion on January 19, Yellen informed Congress that the Treasury would use cash receipts and extraordinary cash management measures to continue making payments on debt, federal benefits, and other expenditures at least through June 5.
Previously, economists had predicted Washington's debt would increase to the set limit by the end of early August and the collection of less-than-expected tax revenues will speed the process.
Experts believe the US could default on its obligations if the debt ceiling is not raised by the summer, triggering an economic downturn that could result in a recession, create an unemployment crisis, and damage the country's reputation as a safe haven for investors.
The economic outlook is also clouded by a deepening rivalry between Biden and Republican lawmakers, who are demanding drastic spending cuts in exchange for more government borrowing power.
For the past two months, the White House has refused to talk to McCarthy and has demanded that the Republican-controlled Congress unconditionally approve the increase in the debt ceiling.
The president accused Republicans of holding the economy hostage to politically motivated demands and said he would discuss spending issues only in the context of the budget, not in relation to the debt ceiling....more below
https://www.presstv.ir/Detail/2023/05/02/702599/US-debt-default-will-cause-economy-crash
All warfare is based on deception. Hence, when able to attack, we must seem unable; when using our forces, we must seem inactive; when we are near, we must make the enemy believe we are far away; when far away, we must make him believe we are near. Sun Tzu, The Art of War
The Empire of Chaos is relentless. Lawfare, destabilizations, sanctions, kidnappings, color revolutions, false flags, annexations: 2025 will be the year of BRICS – plus BRICS partners – as choice targets under fire.
Inestimable Prof. Michael Hudson coined “chaos” as official US policy. That’s bipartisan – and it runs across all silos of the Deep State.
In the absence of long-term strategic vision, and amidst the progressive imperial expulsion from Eurasia, all that’s left for the Hegemon is to unleash chaos from West Asia to Europe and parts of Latin America – a concerted attempt to Divide and Rule BRICS and thwart their collective drive affirming sovereignty and the primacy of national ...
While NATO may be yearning to take on Russia in the Arctic, many of its troops lack the necessary expertise for survival in such extreme conditions.
Although NATO forces regularly participate in drills in the region, many remain unprepared for the harsh realities of Arctic life.
Though NATO forces routinely participate in the bloc’s drills in the region, many of them are still not prepared to survive in the Arctic’s harsh conditions, The Sun reports citing Minna Alander, a researcher at the Finnish Institute of International Affairs.
"Not all NATO allies have the capabilities that are needed and that work in the Arctic environment and climate,” Alander said.....more below
