The US government is facing the imminent threat of a shutdown as far-right Republicans in Congress have blocked final attempts at a temporary budget agreement. If lawmakers fail to reach a deal by midnight on Saturday (0400 GMT Sunday), it would mark the first government shutdown since 2019. The consequences of a shutdown would include delayed salaries for millions of federal employees and military personnel, as well as disruptions to government services.
The deadlock in Congress stems from a small group of Republicans in the House of Representatives who are opposing stopgap measures aimed at keeping the government funded. On Friday, House Republicans defeated a plan proposed by their own leader, Speaker Kevin McCarthy, exacerbating the sense of chaos within the party ahead of the 2024 elections, where former President Donald Trump hopes to return to the White House.
The White House has expressed hope that a shutdown can be avoided if Republicans can resolve their internal divisions. Shalanda Young, the director of the White House Office of Management and Budget, stated that there is “still a chance” of avoiding a shutdown.
White House Press Secretary Karine Jean-Pierre emphasized that President Joe Biden does not intend to intervene in the matter, stating that the conversation needs to happen between Speaker McCarthy and his caucus.
President Biden, speaking to ProPublica on Friday, criticized McCarthy’s actions, stating that he has made “a terrible bargain” in order to maintain the speakership. Biden suggested that McCarthy is aware that his actions are inconsistent with constitutional processes.
However, McCarthy placed blame on Democrats, accusing them of obstructing a solution to the budget impasse.
While critical government services will continue to operate, a government shutdown would have numerous consequences. Most national parks, including iconic ones like Yosemite and Yellowstone, would be closed to public access. With student loan payments set to resume in October, key activities at the Federal Student Aid office would continue for a few weeks.
However, a prolonged shutdown could lead to more significant disruptions, including air travel delays, as air traffic controllers may be required to work without pay. Treasury Secretary Janet Yellen warned that a shutdown could also delay infrastructure improvements.
The shutdown also poses risks to the wider economy, with potential impacts on the United States’ credibility as a commercial partner and hindrances to export control enforcement capabilities, according to a report by the Center for Strategic and International Studies.
One significant concern arising from the budget impasse is the impact on President Biden’s policy of arming and funding Ukraine in its battle against the Russian invasion. While most Republican members of Congress continue to support US backing for Ukraine, the shutdown raises questions about the political viability of renewing the multibillion-dollar flow of assistance.
The situation remains fluid as lawmakers work to find a solution and avoid a government shutdown. The outcome will not only affect the functioning of the US government but also have implications for critical services, national parks, and the ongoing support for Ukraine in its struggle against Russian aggression.