NEW DELHI: US President Joe Biden and House Speaker Kevin McCarthy failed to reach an agreement on how to raise the US government’s $31.4 trillion debt ceiling with just 10 days before a possible default that could sink the US economy.

After the meeting, Biden in a tweet said: “I just concluded a productive meeting with Speaker McCarthy about the need to prevent default and avoid a catastrophe for our economy. We reiterated once again that default is off the table and the only way to move forward is in good faith toward a bipartisan agreement. While there are areas of disagreement, the Speaker and I, and his lead negotiators Chairman McHenry and Congressman Graves, and our staffs will continue to discuss the path forward.”

Meanwhile, Press Secretary Karine Jean-Pierre, in a statement, informed that over the past week, the President’s negotiating team has proposed options to reduce the deficit that both parties can support while also making clear that there are fundamental priorities that must be protected in this process, she said.

The Press Secretary said that everyone understands that the consequences of a first-ever default would be severe for the American people and the American economy. It would wipe out as many as 8 million jobs, trigger a recession, devastate retirement accounts, increase costs and damage its international reputation.