In his first Oval Office address to the nation, President Joe Biden stated that increasing the US borrowing limit prevented "economic collapse.".
On Saturday, after the bill passed with overwhelming bipartisan support, he promised to sign it into law.
When speaking highly of his Republican counterparts, the Democratic president said that they "operated in good faith.".
He described a US default on its $31 trillion (£25 trillion) debt after the deadline next week as "catastrophic.". .
There was doubt about whether or not the package would actually be finalized before the US government ran out of money on June 5th as the White House and Republicans debated the specifics of a deal for weeks.
The bill easily passed the House of Representatives on Wednesday and was approved by the Senate on Thursday night with a vote of 63-36.
The speaker of the house, Kevin McCarthy, was commended by the president for their ability to work together amicably and with respect.
Along with praising Republican Senate leader Mitch McConnell, Democratic congressional leaders received praise from Mr. Biden for putting the interests of the nation above party politics.
