BOSTON (WWLP) – Members of both parties in Congress have admitted to making little progress in negotiating the debt ceiling.
22News spoke with a financial expert Wednesday who said despite this political chaos, it’s highly unlikely that the United States will default on paying its bills.
There are times when Congress needs to lift the debt limit, which is the maximum amount the country is allowed to borrow, in order to cover its bills. The US has already hit its debt limit in January, causing the treasury to take additional measures to pay its bills. House Republicans are refusing to lift the ceiling without seeing spending cuts and the Democrats are calling the Republican’s refusal to negotiate the ceiling a political move.
Mark Teed, the Senior Vice President of Investment at Raymond James and Associates told 22News, “The politicians make great hay over this thing and already it’s starting. We’re probably going to run out of money by September, so here it is. It’s not even April yet and already it’s starting.”
Teed adding the noise from both parties will get louder this summer and there might even be the talk of a shutdown. But in the end, the United States will find a way to settle its debts. He adds that while our debt may be increasing, the assets in America are skyrocketing.
The last time the debt ceiling was raised was December 16, 2021.