On Sunday, McCarthy said he plans to discuss a "responsible" debt ceiling and the "runaway" spending with Biden. The US national debt stands at approximately $31.46 trillion, according to Treasury Department data.
Earlier this month, US Treasury Secretary Janet Yellen warned the United States would soon reach its outstanding debt limit and pointed out that she implemented extraordinary measures to avoid a government default.
Defaulting on the national debt could lead to a "spiraling recession," Yellen said. The United States can continue to meet its financial obligations until at least June 5.
On Tuesday, the White House issued a memorandum announcing the Biden administration’s intent to release a draft budget on March 9. The memorandum also warned about the risks of default and said raising the debt ceiling is "not a negotiation."
During their upcoming meeting on Wednesday, Biden will ask McCarthy on whether he is committed to never defaulting on US financial obligations as well as when he plans on releasing the House Republicans’ proposed budget, the memorandum said.
McCarthy responded by saying he is not interested in playing "political games" with Biden and that he is meeting with the president to "negotiate for the American people."
Republican lawmakers have proposed reining in government spending in order to move towards a balanced budget, as well as a federal sales tax to replace the Internal Revenue Service. Biden said he would veto any such measure passed by Republicans.
McCarthy has warned that Biden’s refusal to negotiate on the debt ceiling is "irresponsible" and that a delay could increase the United States’ financial risks.
A drawn-out struggle to raise the US debt ceiling in 2011 resulted in the credit agency Standard & Poors stripping the country of its top triple-A credit status.