• Treasury Secretary Janet Yellen said raising the debt ceiling is non-negotiable, as House Republicans continue efforts to negotiate ahead of a bill.
  • Yellen said the U.S. has never defaulted on its debt obligations and to do so would result in economic catastrophe.
  • President Joe Biden will discuss improved job numbers and decreasing inflation during his State of the Union address, Yellen said.
U.S. Treasury Secretary Janet Yellen on Jan. 10, 2023 in Washington.

The U.S. government risks "economic and financial catastrophe" if the House fails to pass a bill to raise the $31.4 trillion debt ceiling, Treasury Secretary Janet Yellen said Monday.

The nation hit the statutory limit last month, but Republican members of Congress are holding out on raising it to negotiate changes in federal spending rules with the White House before drafting a bill. The Treasury Department under Yellen has taken several temporary measures to help the government avoid default.