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Republicans pause debt talks as W.House says 'real differences'
Republicans have paused crunch US debt default talks less than two weeks before a potentially catastrophic default, House Speaker Kevin McCarthy said Friday, citing lack of movement from Democrats.
"We've got to pause," the Republican leader told reporters in Congress, adding, "we can't be spending any more money next year."
Negotiators for President Joe Biden have been locked in talks with Republicans as the two sides try to agree on a deal to raise the US borrowing limit and allow the country to pay for its existing obligations.
Republicans continue to insist Biden must sign up to spending cuts in exchange for their support to raise the debt ceiling, ignoring repeated Democratic calls for a "clean" increase of the borrowing limit with no strings attached.
Democrats have framed the talks as an opportunity to discuss the upcoming budget ahead of June 1, when the Treasury predicts the United States could start defaulting on its debts if Congress does not act.
On Friday, the White House said significant problems remained between the two sides over the budget.
"There are real differences between the parties on budget issues and talks will be difficult," a White House official said in a statement, adding: "the President's team is working hard towards a reasonable bipartisan solution that can pass the House and the Senate."
Joe Biden, who is at the G7 summit of world leaders in Japan, is cutting short his trip to the region and returning to Washington on Sunday to try to secure a deal.
Y.Uduike--CPN