Bessent denies there is a recession and affirms the debt ceiling will not be exceeded

Treasury Secretary Scott Bessent asserted Tuesday in Congress that the administration will not exceed the debt ceiling - which, at the moment, stands at $36.2 trillion - while noting that he has pinpointed what the problem is that needs to be addressed. However, he noted that his department is on a "warning track" not to exceed the limit.

"We don't have a revenue problem, we have a spending problem. We have to control this spending," Bessent said during his appearance before the House Appropriations Committee. "We are on the warning track."

"We will share with Congress when we think we are getting close," the Treasury secretary added, referring to the debt ceiling, as well as stressing that "there is nothing in the data that shows we are in a recession."

The debt ceiling is that limit set by Congress that can be borrowed by the federal government.

Aside from the limit, Bessent was questioned about the tariff policy pushed by the Trump Administration. The Treasury secretary responded that the goal is to benefit workers.

"In the last Administration, American workers were sidelined as the necessary collateral damage in this unfettered 'free trade.' This Administration intends for fair trade to bring good-paying jobs back to the country," stated Bessent.

In addition, he said that "as early as this week we will be announcing trade agreements with some of our major trading partners."