What’s GOP Speaker McCarthy’s Alleged Strategy to Prevail in Debt Ceiling Battle?
Speaker-elect Rep. Kevin McCarthy, R-Calif.
InternationalIndiaAfricaGOP House Speaker Kevin McCarthy has reportedly begun to implement a strategy which would allow him to collect the 218 votes necessary to call the shots in negotiations over the national debt ceiling rise in exchange for budget cuts.Speaker Kevin McCarthy brought together leaders of the so-called “five families” of the House GOP – representing five ideological wings – last week to discuss the forthcoming debt ceiling battle, according to the US mainstream press.Earlier, the Republicans signaled that they would not let the Democratic establishment smoothly raise the debt limit without certain concessions. It’s up to Congress to decide how much the US government can borrow. The United States government reached its borrowing limit, also known as the “debt ceiling,” on January 19. Prior to that, the debt ceiling was raised to $31.4 trillion in December 2021.While McCarthy hinted at considerable spending cuts before greenlighting any expansion of the borrowing limits, GOP Rep. Chip Roy of Texas proposed capping fiscal year 2024 spending levels at those of fiscal year 2022. His fellow party member Rep. Andy Biggs of Arizona refused to vote for any increase in borrowing, stressing that the Dems had already spent too much money. According to the US Treasury, the next hike should be made by June.
AmericasWhy Biden Administration is in Panic Mode Over Forthcoming Debt Ceiling Battle With GOP28 January, 17:17 GMTCiting people familiar with the negotiations, the US media report that McCarthy’s goal is to reach a consensus within the party about a proposal that can pass the House with GOP votes. To that end, the speaker needs to bring together the most conservative members of his party as well as moderate ones. The Republicans hold 222 House seats in the 118th Congress, while the Democrats have 213, i.e. the GOP majority is clearly slim.According to unnamed GOP House lawmakers, the intra-party talks have been positive so far. Still, no agreement has been reached yet, as they are weighing a range of potential budget cuts.For their part, the White House and Senate Democrats insist that they will only accept a “clean” debt ceiling increase without any spending cuts attached. To complicate matters further, the Dems and the US president are disseminating the idea that GOP House lawmakers are seeking to cut Social Security and Medicare during the debt ceiling talks. While delivering his State of the Union speech, Biden brought forward this idea, which was met with shouts “liar” from GOP lawmakers. Indeed, it was reported that McCarthy had earlier promised not to slash these programs.
AnalysisNice Try, But…: How Biden’s SOTU Failed to Reassure Skeptics & Address Americans’ Pain Points8 February, 08:54 GMTIn addition, since the beginning of the year, the Biden administration has been pushing the narrative of the forthcoming doom which could be caused by the “stubborn” GOP. Speaking to journalists in late January, Treasury Secretary Janet Yellen said that the US would face a “financial crisis” and “recession” in the event of a default. “It would be devastating. It’s a catastrophe,” she said.The US media has also drawn attention to the fact that President Biden and his entourage do not seem inclined to hold talks with McCarthy over potential concessions, despite both the speaker and the president sounding positive about their first face-to-face encounter earlier this month.There is a suspicion among Republicans that the White House is deliberately slow-rolling negotiations between Biden and McCarthy to step up pressure on the House GOP to pass a “clean” debt ceiling, with no strings attached.However, McCarthy appears unwilling to buy into this: “They say they don’t want to put the economy in jeopardy. I think that would be the wrong approach,” the speaker told the US media while commenting on the White House’s maneuvers.
