U.S. budget deal averts gov’t shutdown

United States lawmakers have agreed to a $1.6-trillion federal budget for 2024 ahead of the 19 January deadline, averting a government shutdown.

Republican House Speaker Mike Johnson and Democratic leaders in Congress announced Sunday the bipartisan deal after weeks of negotiations.

It was swiftly applauded by President Joe Biden, who said in a statement that the deal "moves us one step closer to preventing a needless government shutdown and protecting important national priorities."

Biden added that the deal "rejects deep cuts to programs hardworking families count on, and provides a path to passing full-year funding bills that deliver for the American people and are free of any extreme policies."

Rival parties in Congress, however, have a short time to agree on the spending particulars and pass the appropriations legislation by deadline.

Under the deal, the Pentagon spending is increased to $886.3 billion, well over $100 billion beyond the non-military spending outlined by Democrats.

"By securing the $772.7 billion for non-defense discretionary funding, we can protect key domestic priorities like veterans benefits, health care and nutrition assistance from the draconian cuts sought by right-wing extremists," Senate Majority Leader Chuck Schumer and top House Democrat Hakeem Jeffries said in a joint statement.

The spending limit is likely to anger the far-right flank of Johnson's Republican House caucus, many of whom have pressed for fiscal belt-tightening, Agence France-Presse reported.

"Once you break through the typical Washington math, the true total programmatic spending level is $1.658 trillion — not $1.59 trillion. This is total failure," the conservative House Freedom Caucus said in a statement on X.

But in a letter to colleagues, Johnson reportedly highlighted conservative victories including a $10 billion downsize of the Internal Revenue Service budget and "real reductions" in the federal bureaucracy.

WITH AFP