On May 30, the US Default Prevention Initiative is under review by a congressional committee.

A committee of the US House of Representatives said it will consider a bill on May 30 to raise the public debt ceiling until January 1, 2025 to prevent defaults in the country.

This is stated in a notice distributed by the committee today, Monday, and hearings on this issue are due to begin on May 30, so the committee must agree on regulatory issues in order for the bill to be voted by the full House. representatives.

The committee notes that the document is expected to be approved by the Senate on May 31, after which US President Joe Biden will sign it.

Earlier, the US President called on the House of Representatives and the Senate to approve this initiative.

Late last week, the White House and Congressional Republicans reached an agreement to raise the United States national debt ceiling through January 1, 2025, and the bill agreed by both sides says that FY 2024 will be earmarked for defense and $121 billion will be allocated to Veterans Medicare and $637 billion to other non-defense programs.

And US Treasury Secretary Janet Yellen previously confirmed that the United States would default on its debt on June 5, not the first day.

He warned Congress that the administration could take emergency action to hit the debt ceiling as early as June 1.

She said that in this case, the country is threatened with a default on its debts, which could lead to an “economic disaster” in the United States, as well as cause shocks in the global economy.

Source: TASS

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