If the Debt Ceiling is Not Raised by June 1, Technical Default Awaits U.S. States

The U.S. Department of the Treasury has transferred the responsibility for raising the country's debt ceiling to Congress. U.S. Treasury Secretary Janet Yellen has stated that her department's options to avoid default are almost exhausted, according to ABC News.

The Treasury has been implementing "extraordinary measures" for months, she said. "Since 1960, the debt ceiling has been raised 78 times, three times during the previous administration, with bipartisan support," Yellen added.

It is noted that if the debt ceiling is not raised by June 1, a technical default awaits the states, which will result in the shutdown of all federal agencies in the U.S.