What threatens the US without a compromise on raising the debt ceiling

In the US, the debate about raising or maintaining the debt ceiling is becoming increasingly tense. Treasury Secretary Janet Yellen warned Congress that if the decision to raise the borrowing limit is not taken soon, by June 1, the US authorities will be left without funds to finance budget expenditures in the planned volume.

“Given the current outlook, it is critical that Congress act as soon as possible to increase or suspend the debt limit in a manner that provides long-term assurance that the government will continue to make its payments,” Yellen said in a letter to MPs.