US President Joe Biden and Republican Speaker Kevin McCarthy will meet on Tuesday to try to make progress in negotiations to raise the US government’s $31.4 trillion debt ceiling and prevent a catastrophic default.

She didn’t have much time to reach an agreement. The U.S. Treasury warned again on Monday that its financial resources may not be able to meet all of the U.S. government’s obligations by June 1, leading to the first time the U.S. has to default on its debts and a sharper economy. According to economists, the contraction.

“Time is running out,” Treasury Secretary Janet Yellen told a group of bankers. “Every day that Congress doesn’t act, we see economic costs that slow the U.S. economy increase… We don’t have time. To lose.”

Republicans, who control the House of Representatives by 222 seats to Democrats’ 213, have for months demanded that an increase in the government’s debt ceiling be paired with spending cuts. Last week, representatives from both parties discussed a range of issues, including spending caps and changes to the energy industry’s permitting process in exchange for a vote to raise the debt ceiling.

White House officials described the talks as constructive, but McCarthy warned on Monday that, in his view, no significant progress had been made.

“Given the timetable for passing anything (the resolution) in the House of Representatives and the timetable for passing anything in the Senate, we need to make progress by the end of this week … we’re not even close to that,” McCarthy said. told reporters.

Biden is scheduled to leave the country on Wednesday to attend the G7 summit in Japan, while the House of Representatives is scheduled to begin a week-long recess after Thursday’s session.