US President Joe Biden and Republican House Speaker Kevin McCarthy have sealed their compromise on a bill to avert the United States from default.
Previously there had only been talk of a “provisional agreement”. “Speaker McCarthy and I have reached a bipartisan budget agreement that will prevent the worst crisis — a default for the first time in our country’s history,” Biden said on Twitter on Sunday (local time).
The deal is “good news” for the American people, Biden continued. He called on Congress to immediately pass the deal to raise the US debt ceiling through 2025 in exchange for significant spending cuts. A vote in the Chamber is scheduled for Wednesday.
The draft must be passed in both chambers of Congress – the House of Representatives and the Senate – and signed by the President as quickly as possible so that the US government does not run out of money. US Treasury Secretary Janet Yellen recently warned that the money could run out on June 5th. This was preceded by an intense dispute that even prompted Biden to cancel trips abroad.