The International Monetary Fund on Monday urged the United States to swiftly raise the debt ceiling to ward off risks of a credit downgrade that could damage the global economy.
The IMF appeal was part of a review of U.S. economic prospects in which it concluded a slow-paced recovery can continue with some fiscal tightening while also stressing its concern about getting government debts under control.
"Directors (on the IMF board) highlighted the urgency of raising the federal debt ceiling and agreeing on the specifics of a comprehensive medium-term consolidation program," the global lender said.
Talks between the Obama administration and lawmakers to craft a plan to avoid potential U.S. default seemed to be making scant progress.
