Biden signs bill to raise US debt ceiling

US leader Joe Biden signed into law a bill to raise the US national debt ceiling to avoid default. This was announced on Saturday, June 3, by the White House.

“On Saturday, June 3, the President signed into law… the Fiscal Responsibility Act of 2023, which suspends the public debt limit until January 1, 2025,” the statement says.

In addition, Biden expressed gratitude to the leaders of Congress for their cooperation in passing this document.

Last week, the US President reached an agreement in principle with lawmakers that will help avoid a default. At the same time, Biden did not disclose the details of the deal. He only noted that she intends to cut costs.

According to CNN, the agreement is about a two-year increase in the national debt ceiling in exchange for limiting federal spending next year, with the exception of defense, at the level of the current year.

As early as early June, the American administration risked being unable to service financial obligations without congressional sanctions to expand borrowing limits.