Sequester deadline looms as US faces $85bn cuts

[Gerald]

The US Congress passed the cuts into law fervently hoping they would never come into force

US political leaders are to meet for last-ditch talks at the White House, amid the prospect of steep budget cuts.

Cuts worth $85bn (£56bn), originally tabled in an effort to force Congress to strike a budget deal, are due become law by the end of Friday.

President Barack Obama will host Democratic and Republican leaders, amid a raging blame-game in Washington. Congress has adjourned for the weekend.

The IMF has said the cuts could have an impact on global growth.

Analysis in the US suggests the nation's GDP (economic output) could grow by just 1.4% in 2013 if the cuts are not delayed or replaced. US GDP grew by 2.2% in 2012.

The White House meeting comes as prospects for a deal to avert the cuts, known as the sequesters, appear extremely slim.

Budget bills from both parties were defeated in the Senate on Thursday.

http://www.bbc.co.uk/news/world-us-canada-21610813

Cutting times,

Note: 1 March 2013 Last updated at 11:03 GMT