U.S. House Speaker Republican Kevin McCarthy said on Thursday that he "briefly spoke in recent days with former President Donald Trump about the debt ceiling negotiations, as the deadline for reaching an agreement to avoid a debt default draws closer." He added that "Trump told him, 'Make sure you get a good deal as you move forward.'"
Trump downplays the impact of a default and has urged Republican lawmakers to take a tougher stance in the talks, feeling that "Republicans should not make a deal regarding the debt ceiling unless they get everything they want."
According to economic experts, "a default would be devastating economically, causing a shock in financial markets worldwide, raising borrowing costs, and leading to a deep recession in the United States with rising unemployment rates."
Representatives for Trump could not be reached for comment on his discussions with McCarthy.
The U.S. Treasury Department warns that if Congress does not reach an agreement, the funds available to cover all its obligations will run out by June 1, which would lead to a catastrophic economic default.
