Urgent Call to Lift Debt Ceiling: Averting Financial Turmoil

U.S. Treasury Secretary Scott Bessent has urged Congress to increase or suspend the federal government's debt limit by mid-July to prevent a market crisis. He warned of a possible cash shortfall by August. Bessent emphasized the timing before the scheduled Congressional break to uphold U.S. credit.

In a pressing appeal, U.S. Treasury Secretary Scott Bessent has called upon Congress to raise the federal government's borrowing limit by mid-July. This action is crucial to avert potential disruption in global financial markets due to the imminent danger of a default.

Bessent highlighted the likelihood of the government running out of funds to meet its financial commitments by August, coinciding with Congress's recess. This timeline adds urgency to his request, urging lawmakers to act promptly.

The appeal, detailed in a letter to congressional leaders, underscores the importance of maintaining the United States' financial credibility and avoiding economic instability by protecting its creditworthiness.

(With inputs from agencies.)