Treasury: Nov. 5 deadline for Congress to act on debt limit
Associated Press
Andrew Taylor, Associated Press
WASHINGTON (AP) — Treasury Secretary Jacob Lew says the new deadline for
Congress to increase the government's borrowing cap has been moved up to
about Nov. 5.
That's earlier than previous Treasury estimates and likely means the matter
must be resolved before House Speaker John Boehner leaves Congress at the
end of October.
Lew says that tax receipts have come in below estimates and payments into
military retirement trust funds are higher than anticipated.
Increasing the government's borrowing limit above $18.1 trillion is needed
to prevent a first-ever default on government obligations like interest
payments and Social Security. The government has never failed to meet its
obligations and a first-ever default would likely have severe effects on
interest rates and the economy.
