Joe Biden says US could avoid debt default
(VOVWORLD) -US President Joe Biden on Thursday announced that the world's leading economy could avoid a debt default scenario, even though lawmakers began a 10-day vacation without reaching an agreement to raise the public debt ceiling.
 US President Joe Biden hosts debt limit talks with congressional leaders at the White House on May 16, 2023. (Photo: AFP/VNA)
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The US Department of the Treasury has warned that it could run out of money to pay its bills as soon as June 1 without action by Congress to increase the debt ceiling.
The US public debt currently stands at 31.4 trillion USD. Meanwhile, MPs have begun their vacation after the last vote on Thursday morning (May 25) and will convene a meeting again until June 4. The long holiday may disrupt the negotiation process during the rush period.
At the White House, Biden said there would be no default, and that negotiations between the House Speaker Kevin McCarthy and himself on budget cuts and increase of the debt limit are effective.