Poli Alert Political & Civics
Related Articles
Senate Majority Leader Chuck Schumer said Thursday that the upper chamber reached an agreement to lift the debt limit, averting the risk of a government default.
“We have reached an agreement to extend the debt ceiling through early December, and it’s our hope that we can get this done as soon as today,” said Leader Schumer.
“We have reached agreement to extend the debt ceiling through early December and it’s our hope that we can get this done as soon as today.”
— Senate Majority Leader @SenSchumer pic.twitter.com/unlbrss7uQ
— The Recount (@therecount) October 7, 2021
The move comes after Senate Minority Leader Mitch McConnell late Wednesday, offered Democrats to pass a short-term debt limit extension to cover current spending levels into December.
The US had been facing the risk of not being able to generate funds to pay its obligations and could have defaulted on Oct. 18.
According to the Treasury Department, US Congress has increased or suspended the debt limit 78 times since 1960, with the most recent in 2019 under President Trump.
Treasury Secretary Janet Yellen repeatedly warned Congress in recent months that the government is on track to default on its national debt in October unless Washington increases the debt limit.
A vote on the deal could come as soon as Thursday on the agreement, which would increase the debt ceiling by $480 billion, The Hill reported. That amount would extend the debt ceiling to Dec. 3, according to Treasury Department estimates.
