IMF says failure to increase U.S. debt ceiling would have 'serious repercussions'

(Reuters) - Failure to increase the U.S. debt ceiling would have serious repercussions for the United States and the global economy, an International Monetary Fund spokesperson said on Friday, urging involved parties to work to resolve the standoff.

"The world economy is facing another challenging year. There would be serious repercussions if the U.S. debt ceiling were not increased, both for the U.S. and through negative spillovers to the world economy," the spokesperson said in response to a query from Reuters. "We strongly encourage the various parties to build the consensus needed to resolve this matter."

(Reporting by Andrea Shalal)