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National Review
National Review
19 May 2023
Jeff Zymeri


NextImg:‘Just Not Productive’: Republicans Walk Out of Debt-Ceiling Negotiations

Debt-ceiling talks were paused Friday afternoon after Republican negotiators walked out, blaming the White House for making unreasonable demands.

“Until people are willing to have reasonable conversations about how you can actually move forward and do the right thing, then we’re not gonna sit here and talk to ourselves,” explained Representative Garret Graves (R., La.,), who was tapped to lead the negotiations.

“We decided to press pause because it’s just not productive,” Graves said, adding he doesn’t know if talks will resume over the weekend.

Late last month, House Republicans narrowly passed a bill to raise the nation’s $31.4 trillion debt ceiling by an additional $1.5 trillion. The Limit, Save, Grow Act implements sizable cuts to domestic programs, but spares the Pentagon’s budget. It returns funding for federal agencies to 2022 levels while aiming to limit the growth in spending to 1 percent per year. It also blocks Biden’s plan to grant student-loan forgiveness and repeals green-energy tax credits that were part of the Inflation Reduction Act.

President Joe Biden and Senate Majority Leader Chuck Schumer were quick to announce their opposition to the proposal, instead demanding a clean debt-ceiling increase that doesn’t include any spending cuts. Talks have been ongoing since then, with Biden canceling parts of a planned trip to Asia as the default date nears.

Positive talks were held throughout the week, with House Speaker Kevin McCarthy (R., Calif.) explaining Thursday he could see a deal be reached this weekend. However, McCarthy struck a different tone Friday, agreeing with Graves that the negotiations had to pause.

“We’ve got to get movement by the White House and we don’t have any movement yet,” McCarthy said. “We can’t be spending more money next year. We have to spend less than we spent the year before. It’s pretty easy.”

An unnamed White House official told the Associated Press said there are “real differences” between the parties on the budget issues and further “talks will be difficult.”

Financial markets dipped on the news.