Fed Chairman: US debt is on an unsustainable path
(AFP, New York, 4th) The Chairman of the Federal Reserve of the United States (Fed) Jerome Powell said in an interview broadcast today that the national debt of the United States is on an “unsustainable” path and the key to solving this problem is time.
According to the US Treasury Department, the US national debt currently exceeds $34 trillion.
“Long term, the United States is on an unsustainable fiscal path, the federal government is on an unsustainable fiscal path,” Powell said on CBS News’ “60 Minutes,” meaning debt is expanding faster than growth. economic. “
He said in an interview recorded on the 1st: “It’s almost time, or it’s long past time, for elected officials to seriously discuss how to return the federal government to a sustainable fiscal path.”
The Federal Reserve decided to keep interest rates unchanged in four consecutive meetings last week. Although he said at the time that “risks to achieving employment and inflation goals are becoming more balanced,” he also indicated that he would not cut rates. interest in the near future. future.
Powell reiterated that stance in the CBS interview and said a rate cut was unlikely at the next Federal Open Market Committee (FOMC) meeting in March.
Asked what conditions must be met for a rate cut, Ball said: “It doesn’t have to be better than what we’ve seen or as good as what we’ve seen, it needs to be good. ” (Translator: Zheng Shiyun / Verification: Chen Zhengyi)
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