The bipartisan debt limit deal was struck between the White House and House Republicans – the culmination of long days and late nights of contentious negotiations that at times looked like they might break down and fall apart entirely. To get the bill over the finish line, lawmakers raced the clock to prevent a default ahead of June 5, the date the Treasury Department warned it will no longer be able to pay all of the nation’s obligations in full and on time – a scenario that could trigger global economic catastrophe. The timeframe to pass the bill through Congress was extremely tight with little room for error, putting enormous pressure on leadership in both parties as the threat of default loomed. The Senate voted 63 to 36 to pass the bill. In addition to addressing the debt limit, the bill caps non-defense spending, expands work requirements for some food stamp recipients and claws back some Covid-19 relief funds, among other policy provisions. Suspending the debt limit through 2025 takes the threat of default off table until after the presidential election. The Senate just passed the debt ceiling bill. (Photo by SAUL LOEB / AFP) (Photo by SAUL LOEB/AFP via Getty Images) Saul Loeb/AFP/Getty Images The world's biggest economy could face severe disruption with Republicans threatening to refuse the usual annual rubber stamping of a rise in the legal borrowing limit, and this could push the United States into default. The US Treasury Department building is seen in Washington, DC, January 19, 2023, following an announcement by the US Treasury that it had begun taking measures Thursday to prevent a default on government debt, as Congress heads towards a high-stakes clash between Democrats and Republicans over raising the borrowing limit.
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