Averting the Looming Threat of a Government of US Shutdown 2023
The United States faced the looming threat of a government shutdown, set to commence on October 1, 2023. However, the lower house of the US Congress, the House of Representatives, and the upper house, the Senate, averted this crisis by approving a funding bill for a period of 45 days. The approval in the House of Representatives came with a vote of 335-91 in favor of the Continuing Resolution Bill. Subsequently, the bill received approval in the Senate as well, mitigating the risk of a shutdown until mid-November.
A vast majority of lawmakers, including Democrats and a significant portion of Republicans, voted in favor of the funding bill. Nonetheless, a minority, comprising some Democrats and 90 Republican representatives, opposed the compromise. Following the House’s approval, the bill was forwarded to the Senate, where, in the late hours, it gained support from 88 members while facing opposition from only nine.
This bill grants funding to the federal government, led by President Biden, until November 17, ensuring its operational capabilities for the next 45 days. Additionally, the Senate’s proposal includes provisions for six billion dollars for Ukraine to combat Russia and another six billion dollars for American disaster relief efforts.
Backing down from the demand for significant spending cuts, particularly by House Speaker Kevin McCarthy, was crucial for the bill’s passage. McCarthy emphasized the responsibility of the lawmakers to fulfill their duties and support the government. Prior to the vote, Hakim Jeffries, a Democratic representative from New York, acknowledged the American people’s right to better services but warned against the risk posed by ‘radical’ Republicans threatening a shutdown.
According to media reports, if a shutdown were to occur in the US from October 1, all non-essential services would come to a halt. The government shutdown could persist until the funding bill related to government expenditures is passed, or until the government is granted approval to incur additional debt. If such a scenario were to unfold, its impact would resonate not only within the American economy but also across global economies