US to reach debt limit on New Years Eve

The United States government will reach its statutory US$16.39-trillion debt limit -- a ceiling imposed by Congress -- on Monday. 

This according to US Treasury Secretary Timothy Geithner. 

Mr Geithner said the treasury would take extraordinary measures to postpone the day the US could default on its liabilities, but could not say how long it had.

He warned that if the White House and US lawmakers fail to agree on a budget compromise to prevent the economy plunging over the fiscal cliff, also due on the 31st of December, then he could not be sure when the money would dry up.