Washington -- U.S. Treasury Secretary Timothy Geithner asked Congress
to increase the $12.1 trillion debt limit on Friday, saying it is
"critically important" that they act in the next two months.
Mr. Geithner, in a letter to U.S. lawmakers, said that the Treasury
projects that the current debt limit could be reached as early
mid-October. Increasing the limit is important to instilling
confidence in global investors, Mr. Geithner said.
The Treasury didn't request a specific increase in the letter.
"It is critically important that Congress act before the limit is
reached so that citizens and investors here and around the world can
remain confident that the United States will always meet its
obligations," Mr. Geithner said in a letter to lawmakers.
Mr. Geithner said the that it is "clearly a moment in our history"
that requires support from both Democrats and Republicans for the
"Congress has never failed to raise the debt limit when necessary,"
Mr. Geithner said.
The non-partisan Congressional Budget Office said Thursday the federal
government's budget deficit reached $1.3 trillion through the first
ten months of fiscal 2009, on track to reach a record high of $1.8
trillion for the 12-month period.