The President Biden, on Saturday afternoon, signed into law a measure that suspended the debt limit until 2025.
The White House made the announcement Saturday afternoon through a video on social media with the caption reading, “I just signed into law a bipartisan budget agreement that prevents a first-ever default while reducing the deficit, safeguarding Social Security, Medicare, and Medicaid, and fulfilling our sacred obligation to our veterans. Now, we continue the work of building the strongest economy in the world.”
Treasury Department was warning that the U.S. economy and the global market would be shocked if the U.S. ran out of cash on Monday to pay bills.
Both President Biden, and House Speaker Kevin McCarthy said that the bipartisan agreement took many compromises to pass.
The bill signed by the Commander in Chief on Saturday limits government spending and suspends the limit of the national debt until 1 January 2025.
The 99-page bill restricts spending for the next two years, imposes new work requirements for older Americans receiving food assistance and greenlights an Appalachian natural gas pipeline many Democrats oppose.
Also, it increases funding for veterans and the defense sector and reduces new funding for IRS.