The U.S. federal government will have enough cash flow to pay its bills through at least early September despite the limit on more government borrowing, Treasury Secretary Steven Mnuchin said on Monday, while urging lawmakers to raise the debt limit soon.
Mnuchin repeated his call for Congress to pass a bill authorizing further borrowing before lawmakers break for a long August summer recess.
“I am comfortable saying that we can fund the government through the beginning of September,” Mnuchin told lawmakers in a hearing when asked how urgent it was to raise a limit on federal borrowing. “If we don’t raise this beforehand, I will be providing updated numbers based upon how revenues come in.”
The U.S. government posted a wider budget deficit in May than analysts had expected, and has run $433 billion into the red since the fiscal year began in October.
(Reporting by Jason Lange and Lisa Lambert; Editing by Paul Simao)