US Weeks Away from Reaching Limit on How Much Money Gov’t Can Borrow
Washington (AP) - Treasury Secretary Timothy Geithner is telling lawmakers that the country is only weeks away from reaching the limit on the amount of money the government can borrow.
Geithner tells congressional leaders in a letter that the country will reach the current debt limit of $14.3 trillion no later than May 16. He says he has a few options that would delay a government default on its debt. But he warns that the most time he could buy is another eight weeks, or until around July 8.
Geithner says that the longer Congress delayed raising the debt limit, the greater the risk that investors around the world will lose confidence in America's ability to meet its obligations.