Get 40% Off
🚨 Volatile Markets? Find Hidden Gems for Serious OutperformanceFind Stocks Now

Democrats should raise U.S. debt ceiling on their own -McConnell

Published 08/05/2021, 12:59 PM
Updated 08/05/2021, 01:06 PM
© Reuters. FILE PHOTO: Senate Minority leader Mitch McConnell (R-KY) enters a Republican news conference to speak out against potential Democratic tax hikes and the national debt at the U.S. Capitol in Washington, U.S., August 4, 2021. REUTERS/Evelyn Hockstein

WASHINGTON (Reuters) - Democrats should vote to raise the debt ceiling on their own, U.S. Senate Republican leader Mitch McConnell said on Thursday, as the federal government moves closer to exhausting its borrowing capability.

"If they don't need or want our input, they won't get our help. They won't get our help with the debt limit increase that ... these reckless (spending) plans will require," McConnell said on the Senate floor.

Democrats are planning to vote on a $3.5 trillion budget reconciliation bill that will incorporate social initiatives and items to fight climate change that they say are not properly addressed in a separate $1 trillion bipartisan infrastructure package.

Despite controlling both congressional chambers by thin margins, Democrats can pass the reconciliation bill without Republican support if they stick together.

The budget vote would come before the United States is projected to exhaust its borrowing authority in October, and as the Treasury Department has already announced measures such as suspending investments in employee health benefits funds to preserve the government's borrowing authority.

Failure to approve an increase in the statutory debt limit, now at $28.5 trillion, could lead to another federal government shutdown or a debt default.

Latest comments

Moscow Mitch strikes again.
Turtle neck needs to go back in his shell
Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.
© 2007-2024 - Fusion Media Limited. All Rights Reserved.