Treasury Chief Janet Yellen Calls For Urgent Measures To Avoid U.S. Debt Default By January 14th

Benzinga 2024-12-30

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Treasury Secretary Janet Yellen warned Congress that the U.S. government could hit its debt limit as early as January 14th, requiring “extraordinary measures” to avoid default. Yellen’s letter to House Speaker Mike Johnson urged action to maintain the country’s credit standing. The debt ceiling limits federal borrowing to meet fiscal obligations. If breached, the government cannot borrow further and risks default. The federal debt currently stands at about $36 trillion. While Democrats advocate raising or abolishing the ceiling, Republicans often oppose these measures, citing high spending. Donald Trump expressed support for abolishing the debt ceiling but failed to secure its extension in a recent funding bill.

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