The previously given warning to the US has been ignored and now treasury department Secretary Janet Yellen gave an ultimate warning. They have until 19th January to repay their debts, and if it exceeds then ‘extraordinary measures’ will be taken against it. The warning letter has been written by Janet Yellen to house speaker Kevin McCarthy.And they are not worried cause these measures will be taken for a very short period of time.
Janet Yellen Urges The Lawmakers To Cancel Such Limits
She kindly urged the lawmakers to look into the matter, so that they can do or consider the possible action, in this case, they either increase the debt limit or cancel the whole thing. Janet Yellen wrote if they failed to meet their obligations it would not only be harmful to them but also to the US economy and the prey will be the innocent citizens of the country. And largely affect global financial stability.
And as per the report the federal government has exceeded the limit. As Janet Yellen says immediate actions would be accounting maneuvers involving civil service retirement, Disability Fund, Postal service retiree health benefits fund, and lastly federal employees retirement system thrift savings plan. Janet Yellen also made sure those concerned retirees that these acts will not affect their access to savings.
They still have time till June, and as treasury secretary, Janet Yellen has said precautions will be taken in late May and early June. Still, everything is on hold as the measures are yet to be determined by the 2022 tax revenue the government collects in the meantime. As inflation affected the economy and interest, the rate increased insanely. Congress is already fighting the capitol attack case with Former President Trump, and now this.