Economy

U.S. Treasury Secretary Lew welcomes bill to end govt. shutdown, raise debt limit

Jack Lew

Jack Lew

U.S. Treasury Secretary Jack Lew welcomed on Wednesday the introduction of a bipartisan bill to end the government shutdown and raise the debt ceiling, which has since been signed into law by President Obama.

The plan, which was unveiled by Senate Minority Leader Mitch McConnell (R-Ky.) and Senate Majority Leader Harry Reid (D-Nev.), does little besides fund the government through January and extend the debt limit February, Politico reports.

“Over 224 years, the United States has established our credit as the strongest in the world,” Lew, who has urged against defaulting on the nation’s financial obligations, saying it would lead to global financial downturn, said. “The United States is the anchor of the international financial system and the world’s reserve currency. We are the world’s largest economy with the deepest and most liquid financial markets. When risk rises, the flight to safety and to quality brings investors to U.S. markets. Because of today’s efforts, we will continue to honor all of our commitments – a core American value – and preserve the full faith and credit of the United States.”

Reid and McConnell worked to develop the agreement after a deal in the House collapsed on Tuesday. The Senate ultimately included a provision that would require lawmakers to appoint negotiators to develop a budget agreement before it comes due on Dec. 13, Politico reports.

Lew said the Treasury “remain[s] committed” to reaching a fiscal agreement that will contribute to the economic recovery and create jobs.

“Without question, it will require difficult choices,” Lew said. “We stand ready to find that common ground with both Republicans and Democrats so we can sustain the recovery the American people have so painstakingly fought for and ensure we remain the most powerful economy in the world for generations to come.”

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