The U.S. Congress found itself in a frenzied state as it worked to avoid a potential partial government shutdown on Friday. This urgent situation arose after over three dozen Republicans rejected a demand made by President-elect Donald Trump to tie the funding measure to a proposal that would raise the nation’s debt ceiling.
Republican House of Representatives Speaker Mike Johnson was faced with the challenging task of devising a strategy that could garner enough support to pass through both his chamber, where Republicans hold a narrow majority, and the Democratic-controlled Senate. The looming deadline for funding expiration was set for midnight Friday (0500 GMT Saturday).
“We have a plan,” Johnson informed reporters from the Capitol building on Friday. “We anticipate voting on it this morning.”
On Thursday, conservative Republicans voiced their opposition to Trump’s request to increase the debt limit, which could potentially escalate the government’s already staggering $36 trillion debt to even greater heights. Despite this pushback, Trump escalated his stance overnight by proposing a five-year suspension of the U.S. debt ceiling, a move that came after members of his own party hesitated to support an earlier suggestion for a two-year extension.
In the early hours of the morning, Trump took to his social media platform to assert his position, stating, “Congress must eliminate, or extend possibly until 2029, the absurd Debt Ceiling. Without this, we should never strike a deal.”
An initially bipartisan agreement was derailed after opposition from Trump and his influential ally Elon Musk, the wealthiest individual in the world, emerged on Wednesday. Following this setback, a hastily revised alternative proposal backed by Trump failed to secure enough votes, with a final tally of 174-235 against it on Thursday night.
The modified measure aimed to maintain the federal budget at its current level of approximately $6.2 trillion through March and allocate $100 billion for disaster relief. However, certain provisions that had been included to appease Democrats, who maintain control of the U.S. Senate and the White House for the next four weeks, were omitted from the revised bill.
The White House declared that President Joe Biden was in opposition to the reworked legislation. Past disputes over the debt ceiling have sparked concerns in financial markets, as a potential U.S. government default could have far-reaching repercussions on global credit systems. Although the current suspension of the limit is set to expire on January 1, lawmakers were not expected to address the issue until later in the spring.
