debt limit

American  

noun

1. (in public finance) the legal maximum debt permitted a municipal, state, or national government.

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Example Sentences

The $70 billion borrowing plan exceeds the city’s current debt limit, which is pegged to the total amount of taxpaying property in the city, by tens of billions of dollars.

From The Wall Street Journal

Lifting the debt limit allows the government to pay for programmes already approved by Congress.

From BBC

Treasury Secretary Scott Bessent has urged Congress to address the debt limit by mid-July and warned if they do not, the US could be unable to pay its bills as early as August.

From BBC

Paul has said he opposes the bill because it raises the US debt limit.

From BBC

And, third, any policy passed through budget reconciliation must directly affect federal spending, revenue, or the debt limit.

From Salon