Washington [US], May 30: Yesterday, the content of the agreement between the White House and Speaker of the US House of Representatives Kevin McCarthy on raising the public debt ceiling was clarified.
According to Reuters, the parties agreed to temporarily suspend the ceiling of public debt of $ 31.4 trillion until January 1, 2025 so that the government can borrow money to pay costs. In turn, non-defense government spending in fiscal year 2024 will stay at current levels and increase by up to 1% in 2025.
New employment requirements will apply to food stamp beneficiaries. The administration will also end the student loan deferral period before the end of August. President Joe Biden's plan to write off $430 billion in student debt has not been affected as it awaits a court ruling. Supreme. The agreement also eases the approval process for some energy projects, recovers unused Covid-19 support funds, and establishes a mechanism to force agencies to save budgets before taking action. some influence on revenue and expenditure.
In an announcement early morning at the White House, President Biden said the agreement helped dispel the threat of default, and insisted that he had not made too many concessions. The leader called on the House and Senate to soon pass the agreement to "fulfill our duty and build the strongest economy in the history of the world".
On the Republican side, there is an opinion that this is a political victory rather than a substance because it does not address the main causes of the budget deficit. Mr. McCarthy admitted he did not meet all the requirements but predicted a majority of Republicans would approve the agreement. "And with Biden's support, I expect his party to support it too," McCarthy said.
ABC News reported that both the White House and the leadership of the House of Representatives are working to communicate and explain to congressmen about the agreement to win the necessary support. The House of Representatives is scheduled to vote on May 31. Meanwhile in the Senate , any member can obstruct the vote for days. However, with the support of bipartisan leaders in the Senate, there will likely be enough 60 votes to nullify potential time-buying efforts. The Senate could vote on the deal on June 2 or later this week, before the 5.6 mark, which the Treasury Department warns is at risk of running out of money.
Source: ThanhNien Newspaper
