“Today we learned that after a long impasse, the US Senate and Congress were able to reach an agreement to both fund their federal government operations until January 15th and extend borrowing authority, effectively raising the debt ceiling until February 7th.

“The measure passed by the US legislature is a positive development that buys time, however, I would like to emphasize the need for a more permanent solution, especially to the issue of its borrowing limit.

“If the US is to maintain its role as the printer of the global reserve currency, its leaders cannot view going to the brink of default as a viable political tool. So-called ‘governing by crisis’, where the entire world’s economy has to be held hostage to force a decision, cannot be allowed to become standard operating procedure in Washington. Because the world’s economies are connected even as far away from the US as the Philippines, every standoff between America’s ruling parties forces the rest of the world to watch with anxiety. The US should look seriously at a more permanent solution to shield the world economy and financial markets from its domestic political squabbles.