Positive for the NL agreement on US debt – El Financiero

The announcement that the President of the United States, Joe Biden, and the Speaker of the House, Kevin McCarthy, have reached an agreement on the debt ceiling is positive news for Mexico, and especially for Nuevo León.

Given the uncertainty that the failure to reach an agreement of this kind was generating for the US economy, analysts estimated a negative impact on the economy of this country and its known impact on the Mexican economy and therefore on the economy of the entity.

“For the Mexican economy and especially for Nuevo Leon, the solution to this problem is positive, because it reduces uncertainty and continues to favor the rounding process that has been promoted in recent years,” said Jorge Moreno, professor at the School of Economics. from UANL.

He added, “It is beneficial because this decrease in this certainty allows companies to continue their medium-term planning, to continue their already-planned investment operations that somehow translate into real opportunities for the local economy.”

Jesus Garza, general manager of Gama Financial Solutions, said, “This agreement is good news for the United States and for the world’s financial world, as the markets are stabilizing.”

However, Moreno said that the approval of the debt ceiling solves the problem of debt and short-term financing of the US economy, but the uncertainty about the debt growth that was observed and that is still pending under the criteria of anemic growth. Its economy has witnessed in recent years calls into question its long-term financial solvency.

Alejandro Arellano, an analyst at Vector, said the agreement would give the Treasury Department freedom to continue issuing debt through January 2025 and that, as expected, Medicare and Social Security would not be affected; Instead, it means a two-year limit on discretionary spending.