United States Congressional Budget Office (CBO) has released a report that suggests that the government can remain funded until early to mid-October. After which the Treasury is expected to run out of cash. The United States would suffer a default if the debt-ceiling limit is not increased. This provides the congressional lawmakers some extra breathing space, though Treasury Secretary Steven Mnuchin has urged the congressional members to lift the debt ceiling before the August recess, although he said that the government can continue to finance itself into September.

Due to the upcoming election, the US debt ceiling was suspended in November 2015 and on March 15th of this year that suspension expired which forced the Trump government to rely on extraordinary measures for funding. Mr. Mnuchin advocated for a bill authorizing a debt-ceiling increase without any other policies attached to it, in order to ensure it wins maximum support. However, Mick Mulvaney, the White House’s budget director, has suggested using the bill to push through spending cuts. While the debt-ceiling increase and the drama associated with it has been continuing for years, it came to global attention in 2011, when the United States came very close to defaulting due to disagreement among lawmakers.