TOKYO, May 11. /TASS/. A default in the US would risk undermining Washington’s global economic leadership, US Treasury Secretary Janet Yellen told a press conference in the Japanese city of Niigata on Thursday ahead of a meeting with her counterparts from G7 nations.
"A default would threaten the gains that we've worked so hard to make over the past few years in our pandemic recovery. And it would spark a global downturn that would set us back much further," she said. "It would also risk undermining US global economic leadership and raise questions about our ability to defend our national security interests," US Treasury Secretary added.
The US administration has called on the Congress recently to raise the national debt ceiling that is now set at $31.4 trillion. Republicans, who are in control of the House of Representatives, are traditionally skeptical about allowing greater debt and are pushing for reducing government spending.