U.S. Treasury Secretary Janet Yellen will tell her Group of Seven counterparts next week that the U.S. banking system remains sound and the global economic outlook is better than it was last autumn, a senior Treasury official said Friday.
Yellen's trip to Japan for a meeting of the G7 finance ministers and central bankers was "compressed" to allow her to continue working with Congress to raise the U.S. debt ceiling and avoid an unprecedented default that would be catastrophic for the U.S. economy, the official said.
U.S. President Joe Biden has summoned top congressional leaders to the White House on Tuesday to address the issue. The official said the change in travel plans would allow Yellen to continue engaging on the debt ceiling issue, while also attending the G7 meeting in Niigata from May 11-13.