Treasury Secretary Janet Yellenwhile speaking at the session of group of seven According to reports, tax officials said It is not possible to avert an impending payment default would trigger a global downturn, jeopardize US global economic leadership and raise questions about its ability to defend national security interests.

“There is no good reason to create a crisis of your own making. The US Congress has raised or suspended the debt ceiling about 80 times since 1960. I urge him to act quickly and do this again,” she said.

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Yellen emphasized that taking a risky approach to the debt limit could have significant economic consequences in addition to the risk of default. Looking back on the events of 2011, she stressed that the mere threat of default could lead to a downgrade in credit ratings and a fall in consumer confidence.

“We could see a rise in interest rates pushing up mortgage payments, car loan payments and credit card payments. We’re already seeing a rise in interest rates on debt maturing around the time the debt ceiling matures,” she said.

Catastrophe: The finance minister I have confirmed that again A default would result in economic and financial catastrophe and potentially job loss for millions of Americans.

“Household incomes would fall. American companies would see credit markets deteriorate. And millions of American families receiving federal payments would likely be left without the resources promised to them,” she said.

president Joe Biden and Speaker of the House of Representatives Kevin McCarthy After failing to do so, they are scheduled to meet again on Friday to discuss the debt ceiling reach consensus on Tuesday. Biden urged Republicans to move quickly on the debt ceiling or risk sending the economy into a recession that would wipe out thousands of jobs.

Now former President donald trump urged Republican lawmakers on Wednesday to make the United States default on its national debt if Democrats don’t do so reach a consensus on spending cuts.

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