The US Treasury warned of the risk of default in August due to the debt ceiling

The United States may default on its national debt in August if the U.S. Congress does not raise or suspend the debt limit. This was announced on May 9 by US Treasury Secretary Scott Bessant in a letter published in a letter to the leaders of the legislature.

"After analyzing revenue from the recent April tax filing season, there is a reasonable possibility that the federal government's funds and emergency measures will be exhausted in August while Congress is scheduled to be in recess," the letter says.

The US Treasury Secretary called on congressional staff to increase or suspend the debt limit by mid-July in order to maintain the country's credibility and global credibility. Currently, the US national debt is over $36 trillion.

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On May 6, at a hearing in the budget subcommittee of the House of Representatives, Bessent said that the US government would never default, and the limit on government borrowing would be increased. He added that his department is on an "alarming path" to exhausting its ability to stay within the federal debt limit.