In the middle of the G7 summit in Hiroshima, the president of the United States, Joe Biden, has taken time between his numerous meetings to affirm that he considers the proposals made by the Republicans in the negotiations on the debt ceiling “unacceptable”.
“It is time for the other side to move from their extreme positions, much of what they have proposed is frankly unacceptable,” the president said at a press conference at the end of his participation in the G7 summit in the Japanese city of Hiroshima. .
Biden began the press conference by referring to the negotiations with the Republicans for the debt ceiling, which are stalled and which had to be suspended for a few hours last Friday after a meeting in Washington in which both parties had irreconcilable positions.
Given this situation, the president expressed his desire that the negotiations get back on track once he talks again with the speaker of the House of Representatives, Kevin McCarthy, the highest-ranking Republican in the United States. Biden plans to speak with McCarthy by phone in the next few hours aboard Air Force One, taking advantage of the long return trip he has to get to Washington.
The United States has never defaulted on its national debt, but from time to time it looks at that possibility because, unlike other countries, its Executive can only issue debt up to the limit established by Congress, which has the power to suspend that roof as you see fit.
The current limit, of 31.4 trillion dollars, was reached last January. The government is currently drawing on money in its reserves for the debt it has contracted, but the Treasury Department estimates that those reserves will be depleted on June 1, at which time the United States would go into default.