Yellen Reiterates Call for Congress to Hike Debt Limit

Source: Reuters

Treasury Secretary Janet Yellen reiterated her call for American lawmakers to increase the $28.5-trillion debt limit, warning of economic harm if left unchanged.

• Yellen said Congress should act urgently as it has in the past, as this could cause another shutdown of the federal government or a debt default.
• The Secretary called it a “shared responsibility,” as more Republicans were hesitant to support the increase.
• Republicans earlier denounced the spending plans amid the COVID-19 pandemic.
• Yellen explained that the majority of the accumulated debt was before the administration of President Joe Biden. She already called for a cap increase in June and July.
• Republican Senators earlier said Democrats should address the cap themselves, as they are able to do so with their own votes.