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U.S. Senate passes debt ceiling bill

Posted June. 03, 2023 08:29,   

Updated June. 03, 2023 08:29


U.S. debt limit bill passed by both the House and the Senate on Thursday, eliminating concerns of unprecedented financial default. The move is hailed as an extraordinary display of bipartisan cooperation in U.S. politics.

The bill empowers Democrats to suspend the current debt limit of 31.4 trillion U.S. dollars until January 2025, enabling them to spend beyond the limit without Congressional approval for approximately 18 months. Additionally, the bill incorporates Republican stipulations such as a freeze on non-defense spending for the fiscal year 2024 (from October 2023 to September 2024), a 3% increase in military expenditure, and stricter labor requirements for low-income families seeking food support.

In his statement immediately after the passage, U.S. President Joe Biden welcomed the bipartisan agreement as “a huge victory for the U.S. economy and the American people.” He is scheduled to deliver a public speech on the issue at 7 p.m. on Friday (Eastern Standard Time) after signing the bill, which will immediately take effect.