Obama accepts emergency solution.
To avoid defaulting on the debt, the American president wants a short-term proposal to raise the spending limit of US$14,3 trillion.
US President Barack Obama is open to a short-term deal to raise the country's debt ceiling if congressional leaders and the White House can reach a consensus on the measures needed to reduce the US budget deficit. However, Obama remains opposed to a deal that only temporarily resolves the debt limit issue and offers no concessions.
"We believe that a short-term increase in the debt ceiling without a broader agreement (on the deficit) is unacceptable," said White House press secretary Jay Carney. "Obviously, if both sides agree on something meaningful, we will support the necessary measures to finalize the details," he added, without explaining what "something meaningful" would be or what increase in the debt limit Obama would accept.
The U.S. debt limit is currently at $14,29 trillion and needs to be raised by August 2nd to prevent the country from defaulting on its financial obligations, according to the U.S. Treasury Department.
Obama spoke Tuesday with congressional leaders, including Republican Representative John Boehner, Speaker of the House, and Senator Mitch McConnell, the Republican minority leader in the Senate, about the deficit and debt ceiling, according to Carney. He added that Obama is still pushing for the maximum possible reduction in the budget deficit.