Al Mayadeen English

  • Ar
  • Es
  • x
Al Mayadeen English

Slogan

  • News
    • Politics
    • Economy
    • Sports
    • Arts&Culture
    • Health
    • Miscellaneous
    • Technology
    • Environment
  • Articles
    • Opinion
    • Analysis
    • Blog
    • Features
  • Videos
    • NewsFeed
    • Video Features
    • Explainers
    • TV
    • Digital Series
  • Infographs
  • In Pictures
  • • LIVE
News
  • Politics
  • Economy
  • Sports
  • Arts&Culture
  • Health
  • Miscellaneous
  • Technology
  • Environment
Articles
  • Opinion
  • Analysis
  • Blog
  • Features
Videos
  • NewsFeed
  • Video Features
  • Explainers
  • TV
  • Digital Series
Infographs
In Pictures
  • Africa
  • Asia
  • Asia-Pacific
  • Europe
  • Latin America
  • MENA
  • Palestine
  • US & Canada
BREAKING
Iranian Foreign Ministry spokesperson: No new date or venue has been set for the meeting between Araghchi and Witkoff, and no negotiations will take place until the outcome is guaranteed
Palestinian platforms: Settlers storm Al-Aqsa Mosque complex under the protection of the occupation police
Palestinian platforms: The IOF detonated a booby-trapped robot east of the al-Zaytoun neighborhood, south of Gaza City
Syrian Defense: We call on all parties in Sweida to cooperate with security forces and exercise restraint
Al Mayadeen's correspondent: The Lebanese Army is continuing its investigations and will later announce any information that does not affect the confidentiality of the investigation
Al Mayadeen's correspondent: It has not yet been determined whether the detainees belong to ISIS or another organization
Al Mayadeen's correspondent: Around 10 people of different nationalities, including Lebanese nationals, were detained
Al Mayadeen's correspondent: The Lebanese army arrested a number of people in the Matn area of Mount Lebanon with possession it has not disclosed
Gaza Civil Defense spokesman: We have strong indications that there are martyrs, injuries, and trapped people in the Salah al-Din area
Gaza Civil Defense spokesman: Citizens should avoid Salah al-Din Street because anyone who approaches it is at risk of being directly targeted

US Treasury: debt default will make the world not invest in dollars

  • By Al-Mayadeen English
  • Source: Agencies
  • 15 May 2023 23:58
3 Min Read

Adeyemo expresses that a default would not only worsen the US economy, but it would make the dollar less interesting to the world and more of a risk.

  • x
  •  Bundles of banknotes of U.S. Dollar are pictured at a currency exchange shop in Ciudad Juarez, Mexico on January 15, 2018 (Reuters)
    Bundles of banknotes of U.S. Dollars at a currency exchange shop in Ciudad Juarez, Mexico on January 15, 2018 (Reuters)

US Deputy Treasury Secretary Wally Adeyemo has pronounced what the US has been fearing the most for its economy - in case of a default, people around the world won't be as motivated to invest in products and instruments backed by the US dollar. 

In an interview with NPR, Adeyemo said that a "US default would make US debt and economy worse,"  adding that it "would make people less willing to invest in dollar assets."

This update follows after US President Joe Biden confirmed on Monday that after talks with Congressional leaders, no deal was reached. House Speaker Kevin McCarthy separately said to CNN that they are still "far apart" in the talks, adding that it "seems like they want a default more than a deal." 

The President's Council of Economic Advisers (CEA), a federal agency led by a team of experts, issued a report on Wednesday warning of the possible consequences that would ensue from the US defaulting on its debt payments.

One of the consequences listed in the report includes a series of economic shocks that would result in 8 million job losses this year's summer, as well as a 6% drop in GDP. 

Related News

A true American horror story: The debt deal and the future of the US

Debt ceiling bill overwhelmingly passes US House

According to McCarthy, a deal should be reached this weekend in an attempt "to have a timeline to be able to pass it in both houses." Just two days ago, Biden told his press pool that talks were "moving along" but are "not there yet."

Read more: White House on raising US debt limit: 'We will not negotiate'

The White House and Republicans in Congress have been locked in a dispute on a deal that would avert an unprecedented national default as early as June.

US Treasury Secretary Janet Yellen warned Congress through ABC News last week that failing to resolve the debt ceiling issue on their part might create a "constitutional crisis" and send out a ripple effect across the financial markets.

"I don't want to consider emergency options. What's important is that members of Congress recognize what their responsibility is," she added.

The Republican bill to increase the debt limit and cut down on government spending was passed after a narrow 217-215 vote in the US House of Representatives by McCarthy. His proposal included raising the US debt limit by $1.5 trillion to avert the default of the world's biggest economy.

Senators have reiterated their call for Biden to negotiate the debt ceiling with McCarthy; calling on him to stop "playing Russian roulette" with the American economy. 

  • debt default
  • US
  • Wally Adeyemo
  • Kevin McCarthy
  • Janet Yellen
  • Joe Biden

Most Read

Hezbollah SG reveals war details on Al Mayadeen for the first time

Hezbollah SG reveals war details on Al Mayadeen for the first time

  • Politics
  • 8 Jul 2025
Major ambush in Gaza kills 6 Israeli troops, injures dozens

Major ambush in Gaza kills 5 Israeli troops, injures 14

  • Politics
  • 8 Jul 2025
Israeli soldiers are seen in Beit Hanoun ahead of an operation by the al-Qassam Brigades, undated (Al-Qassam Brigades Military Media)

'Israel' on blast as media exposes report discrepancies in Gaza ambush

  • Palestine
  • 8 Jul 2025
Yemen Navy sinks ETERNITY C ship, shares footage of operation

Yemen Navy sinks ETERNITY C ship, shares footage of operation

  • Politics
  • 9 Jul 2025

Coverage

All
The Ummah's Martyrs

Read Next

All
The Freedom Flotilla ship Handala as it departs for Gaza, where it aims to break the maritime blockade at a port in Syracuse, Sicily in southern Italy on July 13, 2025. (AFP)
Palestine

Freedom Flotilla's Handala departs Sicily in bid to break Gaza siege

The container ship CMA CGM Laperouse, left, docks at the Georgia Ports Authority's Port of Savannah, Sept. 29, 2021, in Savannah, Ga (AP)
Politics

US shipbuilding woes deepen as tariffs, outdated policies backfire

Gaza war raises ethical questions for ex-Obama, Biden officials
Politics

Mercenary firm tied to Gaza war crimes hires Obama-Biden PR operatives

'Israel' targets children in Gaza collecting water
Palestine

'Israel' strikes Gaza kids fetching water, blames it on 'malfunction'

Al Mayadeen English

Al Mayadeen is an Arab Independent Media Satellite Channel.

All Rights Reserved

  • x
  • Privacy Policy
  • About Us
  • Contact Us
  • Authors
Android
iOS