US debt ceiling crisis: Biden and McCarthy reach ‘in principle’ agreement
- Budget agreement in principle is “an important step forward”, US President Joe Biden says, pushes for Congress to pass it
- Deal includes a two-year debt limit increase and keeps non-defence spending by the government capped in the same time frame, a source tells the Post
“Earlier this evening, Speaker McCarthy and I reached a budget agreement in principle,” Biden said in a statement issued by the White House.
Calling the deal “an important step forward”, Biden pushed for the Congress to pass it.
“Over the next day, our negotiating teams will finalise legislative text and the agreement will go to the United States House and Senate. I strongly urge both chambers to pass the agreement right away,” he said.
The deal includes a two-year debt limit increase and keeps non-defence spending by the government capped in the same time frame, a source said.
In a brief press conference at the Capitol, McCarthy said the deal contained “historical reduction” in spending and consequential reforms that will lift people out of poverty into the work force. It will rein in government overreach and there will be no new taxes, he said.
