Yellen to tell G7 partners: US banking system sound, global outlook better than in fall

U.S. Treasury Secretary Janet Yellen will tell her Group of Seven (G7) counterparts next week that the U.S. banking system remains sound and the global economic outlook is better than it was last autumn, a senior Treasury official said on Friday.

Yellen's trip to Japan for the G7 finance ministers and central bankers meeting was "compressed" to allow the secretary to continue working with Congress to raise the U.S. debt ceiling and avoid an unprecedented default that would be catastrophic for the U.S. economy, the official said.

U.S. President Joe Biden has summoned top congressional leaders to the White House on Tuesday to address the issue. Yellen will attend the G7 meeting in Niigata from May 11-13.