US Treasury Secretary Jack Lew has warned the US may default on its debt by the end of the month if Congress does not raise its borrowing limit.

Mr Lew said he could rely on emergency measures to pay US debts after the limit is reinstated on 7 February. But he anticipated the treasury’s reserves would quickly be exhausted as it issues annual income tax refunds. Congress suspended the debt limit in October as part of a deal to reopen the federal government after a shutdown.  Read more