Businessmen concerned about the risk of default in the U.S.

American business is extremely concerned about the danger of default in the U.S. and the catastrophic consequences of such a development. Lael Brainard, head of the National Economic Council of the White House, said this on the CBS television channel.

“When I talk to CEOs, CEOs across the country, they tell me that things are actually going very well. But what worries them most is that Congress might not be able to prevent a default, that it would be a disaster,” she said, commenting on consultations with businesses in the United States. – It would raise the cost of credit for cars, for housing, for small businesses, even for the U.S. government. So the most important thing is to make sure that Congress fulfills its primary responsibility to prevent default.”

Brainard spoke out against a short-term increase in the U.S. national debt ceiling. According to her, “it’s not a solution, it doesn’t really address the underlying concern that the CEOs are talking about.” The head of the White House National Economic Council also expressed confidence that the U.S. “banking system is currently resilient.” According to her, the administration is “watching it very closely.”

The Congressional Budget Office reported Friday that the U.S. will face a significant risk of defaulting on its federal debt for the first time in history (in the first two weeks of June) if lawmakers and the administration of President Joe Biden do not act to raise the debt limit. On Saturday, Biden said that the government has made progress on the debt ceiling problem, but a real solution is still to be found.

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