Prevent budget freeze
US Congress agrees on interim budget funding
January 15, 2024, 7:42 a.m
The budget dispute in the USA continues. The Democrats and Republicans in the US Congress are successfully averting an impending government shutdown for the time being. However, an important deadline is coming up in just a few days.
In the USA, the leaders of Congress have agreed on further interim financing of the budget. The bridging financing until March 2024 is intended to avert a government shutdown that was imminent on Friday, said Democratic Senate Majority Leader Chuck Schumer.
He agreed with the Republican Chairman of the House of Representatives, Mike Johnson, the Republican Chairman of the Senate, Mitch McConnell, and the Democratic Chairman of the House of Representatives, Hakeem Jeffries, on a so-called “Continuing Resolution” (CR), which would divide the government into two tranches should finance until March 1st and 8th.
The leading representatives of Democrats and Republicans in the US Congress reached a fundamental agreement in the budget dispute just a few days ago. The compromise is intended to prevent a budget freeze, the so-called shutdown.
The agreement sets a cap on spending of around $1.6 trillion, according to House Republican leader Mike Johnson and Senate Democratic leader Chuck Schumer. Democrats and Republicans in Congress now have to negotiate further details and pass a law by January 19th. Otherwise, funding for part of government operations would cease.
The agreement calls for an increase in defense spending to approximately $886.3 billion. According to the Democrats, the non-military sector accounts for $772.7 billion. This would make it possible to protect “important domestic priorities” such as support for veterans or health benefits “from the draconian cuts sought by right-wing extremists,” Schumer and his party colleague Hakeem Jeffries said at the time.