US Economic Rebound at Risk as Debt Ceiling Deadline Looms
Deputy Treasury Secretary Wally Adeyemo has warned that a failure by Congress to raise the US debt ceiling could spark a "manufactured" crisis that derails economic progress. The Congressional Budget Office has warned that the government could default on its debt between July and September. The GOP has sought spending concessions in exchange for raising the debt limit, but the White House has so far refused to entertain the demands, leading to an impasse. Republicans are preparing to present a plan next week for a yearlong suspension of the debt ceiling in exchange for cuts to certain spending programs and regulation changes, but the proposal is unlikely to win Democratic support and become law.