Yellen tells Congress US expected to hit debt limit next week

Treasury Secretary Janet Yellen (Carolyn Kaster/AP)

Treasury Secretary Janet Yellen has notified Congress that the US is projected to reach its debt limit on Thursday and will then resort to “extraordinary measures” to avoid default.

In a letter to House and Senate leaders, Ms Yellen said her actions will buy time until Congress can pass legislation that will either raise the debt limit or suspend it again for a period of time.