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USA
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Politics

The U.S. government will remain shut down at least until Monday

  • The U.S. government will remain shut down at least until Monday
    The U.S. government will remain shut down at least until Monday
Region:
USA
Category:
Politics
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Washington – The U.S. Federal Government will remain shut down at least until Monday, October 6, after two budget proposals failed this Friday in the Senate, which will go into recess over the weekend.

The next vote is scheduled for Monday afternoon, when Democrats and Republicans will once again present their proposals to fund the Central Administration, blocked since last Wednesday due to the lack of consensus between both parties.

According to official estimates, about 900,000 federal employees have been furloughed, while another 700,000 continue to work without pay.

Essential services still operating

Despite the budget crisis, essential services remain in operation: air traffic controllers, Transportation Security Administration (TSA) staff, Social Security, the Department of Homeland Security (DHS), and Immigration and Customs Enforcement (ICE).

However, the shutdown is already affecting the economic system. The Bureau of Labor Statistics (BLS) suspended the release of key September data, while a new deadlock in the Senate could jeopardize the publication of the trade balance next Tuesday, overseen by the Bureau of Economic Analysis (BEA).

If the shutdown continues, the release of inflation indexes scheduled for October 15 would also be compromised, making it harder for experts and the Federal Reserve (Fed) —which must meet in less than a month to decide on a possible interest rate cut— to analyze the economic outlook.

Blame game and political tensions

The federal shutdown, the first in seven years, reignited partisan disputes. Republicans accuse Democrats of deliberately forcing the paralysis and refuse to compromise in the debate over funding healthcare services, arguing that they would benefit “illegal immigrants.”

Democrats, on the other hand, deny those accusations and blame the Republican majority for refusing to negotiate a budget that ensures the continuity of basic programs.

Meanwhile, President Donald Trump has taken advantage of the situation to push his goal of reducing the size of the federal government. The Office of Management and Budget (OMB) has already been ordered to identify programs classified as non-essential, in preparation for possible layoffs if the crisis drags on.

The country now waits in uncertainty for Monday’s vote, which could either extend or resolve a shutdown impacting not only federal workers but also the U.S. economy and its international reputation.