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Mitch McConnell may offer short-term debt ceiling extension following pressure from Biden


Mitch McConnell, the U.S. Senate Minority leader speaks to reporters in Washington on August 3, 2021.

Kevin Lamarque | Reuters

Senate Minority leader Mitch McConnellTwo people who are familiar with his thinking say that he could offer temporary suspensions of the U.S. Debt Ceiling until Democrats find a more permanent solution to prevent a crisis and national default on Wednesday.

This development is coming as President Joe Biden, and Democratic leaders within Congress intensified pressure on Republicans for action on the debt limit.

McConnell offered a stopgap deal to relieve pressure from both parties. It would allow them to agree to a compromise before Oct. 18th, when the Treasury Department expects that the U.S. has exhausted its emergency attempts to pay their government’s bills.

Republicans and Democrats have been at odds in recent weeks about how to raise or suspend the federal loan limit. At this time, it wasn’t clear whether Nancy Pelosi, D.Calif. or Chuck Schumer D.N.Y. would accept McConnell s plan.

McConnell is expected to meet Schumer on Wednesday night, Texas Republican Sen. John Cornyn said. That could provide more clarity about a potential agreement.

Others reported Wednesday afternoon, that McConnell might offer Schumer an arrangement couple months to delay a permanent debt limit remedySome reports indicate that the temporary fix could be extended until December or November, according to some.

CNBC’s Ylan Mui contributed reporting.

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