Treasury: Debt limit will be hit late this year

Treasury: Debt limit will be hit late this year

Posted: Wednesday, October 31, 2012 8:00 pm

By MARTIN CRUTSINGER
AP Economics Writer
WASHINGTON (AP) — U.S. Treasury officials say they still expect the government will hit the current debt borrowing limit at the end of this year. But they say they can employ “extraordinary” measures that they have used in the past to keep the government functioning until sometime early next year.
In a statement, Treasury Assistant Secretary Matthew Rutherford said that Treasury would employ the same types of procedures it has used in the past to keep borrowing under the current debt limit of $16.39 trillion. The nation’s debt currently stands $16.16 trillion.
The United States has never failed to meet its debt obligations although the last battle over raising the debt limit in August 2011 went right to the last minute before a compromise was reached between the Obama administration and Congress.
Published in The Messenger 10.31.12

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