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US Congress Approves Debt Ceiling Hike Until Early December

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The US House of Representatives on Tuesday (local time) approved an increase in the government debt ceiling until December 3. 219 votes approved the proposal to 206.

 

All those who voted in favour were Democrats; all those who voted against were Republicans. Earlier this month, the Senate had already approved this emergency measure.

According to Treasury Secretary Janet Yellen, the US government was close to the limit on the total amount it can borrow. If the ceiling of 28.4 trillion dollars, converted to 24.5 trillion euros, had not been raised, the country would not have been able to meet all financial obligations before October 18, she says.

The temporary extension of the debt limit is only a short-term solution. A new fiscal crisis threatens later this year. The federal government will then run out of money to meet its financial obligations unless Congress raises the debt ceiling again before then.

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