U.S. Congress reaches agreement to raise debt ceiling and avoid installments

Senate Majority Leader Chuck Schumer with Capitol Hill reporters in Washington on October 7, 2021.

For now the threat is over. At the United States Congress, an agreement has been reached to avoid a catastrophic mistake by the United States, Senate Democrat leader Chuck Schumer announced Thursday (October 7). The country’s debt ceiling is set to rise to $ 480 billion, allowing it to repay its payments until early December.

The Senate approved the speech by a 48-50 vote Thursday afternoon. The House of Representatives, with a democratic majority, is due to vote in the middle of next week.

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If the interim agreement confirms Wall Street, it will not calm the climate on Capitol Hill or fully satisfy the White House.

“Republicans have played a dangerous and dangerous game”, Democrat leader Chuck Schumer in the Senate condemned the opposition’s refusal to accept further action. “What we need now is a long-term solution, so we should not go through this dangerous drama as usual. We hope the Republicans will join us.”, He continued.

His angry tone angered some of the 11 Republicans who voted with Democrats in an important practical step in reaching the final vote.

A contract to the President of the Republican Party

Among them was Republican leader Mitch McConnell, who proposed the deal in order to avoid it “A crisis triggered” By Democrats, he said. With this proposal, the senior soldier of the Congress provided a temporary passage for the two camps, which were closed at completely opposite positions.

But the move angered many Republicans, in the same vein as Donald Trump, for Mitch McConnell. “Folded” In front of Camp Piton. “Republican Senators: Do Not Vote for This Terrible Pact”, Launched the former president shortly before the practical referendum.

Although the White House is said to be the leader of the Democrats “Saw the opposite” To sign the agreement, he also expressed disbelief for a temporary solution. December 3 “Short time” And “There is uncertainty for a long time”, Treasury Secretary Janet Yellen explained on CNN.

Republicans refuse to approve any long-term measures to raise the debt ceiling because they say it will be like giving. An empty test for Joe Biden To fund its broader investment projects.

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These plans have not yet been approved by Congress. Raising the debt ceiling is being used to repay already borrowed sums, including trillions of dollars spent under former President Trump.

By giving a temporary respite to avoid the debt crisis, Mitch McConnell urged Democrats to reach a lasting solution by December through a complex legislative path. But President Joe Biden’s camp has so far refused to use the maneuver “Very dangerous” For credit.

The battle for finances is not over yet

Because if we want to avoid the freezing and shutdown of federal services, in parallel with the credit limit, Congress must agree to the new budget in early December.

However, Democrats hope to use the recession at the financial front to focus on the coming weeks of tough negotiations within their party to adopt the two key investment plans that Joe Biden wants in intra-party and social reforms.

The U.S. Treasury has set October 18 as the date for the world’s largest economy to recover if its congressional failure to increase its debt capacity.

The pressure on Republicans, especially from Joe Biden, has been increasing exponentially for days. The U.S. president, weakened by the chaotic expulsion from Afghanistan and struggling to achieve his major economic and social reforms, does not want additional financial disaster.

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The United States, which has been indebted to many major economies or for decades on the basis of public spending, has already raised this glorious “ceiling” countless times.

But Republicans began to use this routine legislative maneuver as an instrument of political pressure when Obama was president.

World with AFP