US to hit borrowing limit in six weeks

The US government may not be able to pay its bills from mid-October.

It has emerged that the country will hit its borrowing limit in six weeks time.

The US Treasury Secretary Jack Lew is urging Congress to raise the borrowing limit from the current level of $16.7trn.

He said failure to do so "would cause irreparable harm to the American economy."

However, the news is likely to spark a new battle between President Obama and his Republican rivals who believe the current debt levels are already too high.