US President Joe Biden has postponed his planned trip to Australia due to stalled domestic debt ceiling negotiations. Biden will leave the US tomorrow to travel to Japan for a meeting of the G7, which Australian Prime Minister Anthony Albanese is also attending.

Negotiations over the debt ceiling have reached a critical point, with Republicans asking for spending cuts in exchange for raising the limit, and the US Treasury set to run out of cash as soon as June 1.

After attending the G7 meeting in Japan, Biden will fly home directly to negotiate with Republican politicians over the debt ceiling, according to a White House statement. 

Negotiations over the debt ceiling have reached a critical point, with Republicans asking for spending cuts in exchange for raising the limit, and the US Treasury set to run out of cash as soon as June 1.

Although Biden had planned to visit Papua New Guinea and Australia for security talks and an address to Australia’s parliament, the White House said that “revitalising and reinvigorating our alliances and advancing partnerships like the Quad remains a key priority for the President,” and that they look forward to finding other ways to engage with Australia, Papua New Guinea, and the leaders of the Pacific Islands Forum in the coming year. The statement added that Biden had invited Albanese for an official state visit to the US at a time to be agreed to.

White House national security spokesperson John Kirby earlier called on Congressional Republicans to raise the debt limit, saying that “these leaders… understand how important American credibility and leadership is.” 

Albanese had previously said that the Quadrilateral Security Dialogue would be the most significant gathering in Australia since the G20 more than a decade ago, and the bilateral relationship with India would deliver economic benefits for Australian trade, investment and business. The Quad leaders’ meeting will be held at Sydney’s Opera House on May 24.