Official announcements and news reports on government shutdown status

Yellen to Implement 'Extraordinary Measures' on January 21 to Avoid $36 Trillion Debt Ceiling Breach Post-Trump Inauguration

Jan 18, 2025, 12:00 AM

U.S. Treasury Secretary Janet Yellen announced that the Treasury Department will begin implementing 'extraordinary measures' on January 21 to avoid breaching the nation's debt ceiling. In a letter to congressional leaders, Yellen stated that these measures are necessary as the U.S. government is set to reach its statutory borrowing limit on that date, the day after Donald Trump's inauguration. The extraordinary measures include suspending investments in the Civil Service Retirement and Disability Fund and the Postal Service Retiree Health Benefits Fund. Yellen emphasized the uncertainty of how long these measures will last and urged Congress to act promptly to protect the full faith and credit of the United States. The current debt ceiling, reinstated on January 2, is set at approximately $36 trillion. The funds will be paid back once the debt ceiling is raised or suspended, ensuring that federal retirees and employees remain unaffected by these actions.