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US: Johnson Expects Debt Limit Deadline Will Be Postponed Until Summer 2025

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Jake Sherman at Punchbowl News reporting on X that House Speaker Mike Johnson (R-LA) said that, "he believes the debt limit will not come due until Summer 2025."

  • Bloomberg noted on December 2: "The debt limit will be reinstated on Jan. 2, prompting the Treasury Department to deploy a series of extraordinary measures that include spending down its cash pile and reducing the amount of T-bills it issues to preserve its borrowing capacity."
  • Reuters notes similarly: "[Congress] faces a Jan. 1 deadline for raising the federal government's debt ceiling, though lawmakers and aides say that extraordinary measures employed by the Treasury Department are likely to postpone the expected "X" date for default well into 2025."
  • Although there is a view in Washington that Donald Trump's election may have neutered the asymmetrical power of House Republicans conservatives, the debt ceiling deadline is likely to renew debates over government spending. The previous debt ceiling negotiations in 2023 resulted in a compromise agreement between former House Speaker Kevin McCarthy and the Biden administration that culminated in McCarthy's ouster and a period of instability in the House of Representatives, which included a protracted series of floor ballots of elect Johnson as the new Speaker. 
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Jake Sherman at Punchbowl News reporting on X that House Speaker Mike Johnson (R-LA) said that, "he believes the debt limit will not come due until Summer 2025."

  • Bloomberg noted on December 2: "The debt limit will be reinstated on Jan. 2, prompting the Treasury Department to deploy a series of extraordinary measures that include spending down its cash pile and reducing the amount of T-bills it issues to preserve its borrowing capacity."
  • Reuters notes similarly: "[Congress] faces a Jan. 1 deadline for raising the federal government's debt ceiling, though lawmakers and aides say that extraordinary measures employed by the Treasury Department are likely to postpone the expected "X" date for default well into 2025."
  • Although there is a view in Washington that Donald Trump's election may have neutered the asymmetrical power of House Republicans conservatives, the debt ceiling deadline is likely to renew debates over government spending. The previous debt ceiling negotiations in 2023 resulted in a compromise agreement between former House Speaker Kevin McCarthy and the Biden administration that culminated in McCarthy's ouster and a period of instability in the House of Representatives, which included a protracted series of floor ballots of elect Johnson as the new Speaker.