Financial Times FT.com

Bernanke warns US of ‘fiscal crisis’ fear

By Krishna Guha and Eoin Callan in Washington and Tony Tassell in London

Published: January 18 2007 14:33 | Last updated: January 19 2007 00:30

Ben Bernanke stepped up the pressure on Congress to address the budgetary impact of soaring spending on entitlement programmes on Thursday, warning that they could one day cause a “fiscal crisis” in the US.

The Federal Reserve chairman told the Senate budget committee that the recent improvement in US public finances was only the “calm before the storm”.

You have viewed your allowance of free articles. If you wish to view more, click the button below.

Read this