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US Government Shutdown Averted After Senate Reaches Bipartisan Deal

The breakthrough came after days of closed-door discussions aimed at preventing further economic fallout and service disruptions caused by the funding impasse.

US Parties Reach An Agreement To Avert Another Government Shutdown: Reports File photo
Summary
  • The U.S. Senate reached a bipartisan agreement to extend government funding until January 30, 2026, ending the weeks-long partial shutdown.

  • The deal ensures back pay for furloughed federal workers and continues funding for key welfare programs like SNAP, with future talks on healthcare subsidies planned.

  • Federal services will gradually resume operations, but analysts warn the compromise only offers temporary relief, with deeper budget disputes likely to resurface next year.

The United States Senate has reached a bipartisan agreement to extend government funding and end the weeks-long partial shutdown, paving the way for federal operations to resume in full. The deal, struck late Saturday night, will keep the government funded until January 30, 2026, offering temporary relief to millions of Americans affected by halted public services.

The agreement was the result of intense negotiations between Democratic and Republican lawmakers, with mediation from the White House. The breakthrough came after days of closed-door discussions aimed at preventing further economic fallout and service disruptions caused by the funding impasse.

Under the new deal, federal employees who were furloughed during the shutdown will be reinstated and will receive back pay. Funding will also continue for essential welfare schemes such as the Supplemental Nutrition Assistance Program (SNAP) through the next fiscal year. Additionally, Senate leadership has agreed to take up amendments related to Affordable Care Act (ACA) subsidies in December, signaling a rare moment of cooperation on a contentious issue.

Once approved by the Senate, the bill will move to the House of Representatives for voting and then to the President for signature. After the legislation is enacted, government agencies will begin reopening in phases. Services such as national parks, passport processing, and tax administration are expected to resume, although officials have warned that backlogs accumulated during the shutdown could cause delays.

The resolution marks a significant, if temporary, victory for both parties eager to avert further public frustration and economic damage. Lawmakers have now bought themselves a brief window to negotiate a long-term funding plan. However, with deep divisions still remaining over federal spending priorities, political observers say the country could face a renewed funding crisis early next year.

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