After weeks of closed-door negotiations, the United States President Donald Trump together with congress representatives from both parties just closed a deal on Monday that would extend the time limit for the Debt Ceiling and the Budget.
"I am pleased to announce that a deal has been struck with Senate Majority Leader Mitch McConnell, Senate Minority Leader Chuck Schumer, Speaker of the House Nancy Pelosi, and House Minority Leader Kevin McCarthy - on a two-year Budget and Debt Ceiling, with no poison pills...," posted Trump on his Twitter account.
Right after Trump's tweet, the Democratic party representative Nancy Pelosi confirmed Trump's statements.
"Today, a bipartisan agreement has been reached that will enhance our national security and invest in middle-class priorities that advance the health, financial security, and well-being of the American people," said Pelosi on her statement, adding that the deal would put an end to what she calls "devastating cuts", would help to avoid another government shutdown and secures " funding for critical domestic priorities."
The deal would extend the United States government borrowing authority until the end of July 2021, thus effectively avoiding default. Spending on certain government discretionary programs would go up from $1.32 trillion this year to $1.37 trillion next fiscal year. Military Spending would go from $716 billion this year to $738 billion next year.
“ secures the resources we need to keep rebuilding our armed forces,” said the Republican representative Mitch McConnell, he also added that the next step is " for the House and the Senate to pass this agreement so that President Trump can sign it into law."
Despite being praised by many, the new deal has also been facing criticism.
"This agreement is a total abdication of fiscal responsibility by Congress and the President," said Maya Mcguineas, president of the Committee for a Responsible Federal Budget, adding that what she calls the "worst budget agreement" in America's history would enshrine a trillion dollars deficit into law.