President Donald Trump has ordered a halt beginning Tuesday on potential trillions of dollars in federal assistance to Americans, affecting areas such as education grants and small business loans — leading to claims that he is breaching the Constitution.
The White House Budget Office released the directive in a memo issued a week after he assumed office. The memo, signed by acting Office of Management and Budget (OMB) Director Matthew Vaeth, did not clarify how this funding freeze would function or its duration.
This unprecedented decision follows a previous announcement regarding a freeze on US foreign aid.
Trump secured the presidency partly by vowing to dismantle substantial portions of the US government and reduce expenditures. Nonetheless, this aggressive overhaul is also intended to ensure that federal programs and government personnel align with his right-wing political agenda.
A senior official from the Trump administration informed reporters that the funding halt was a mechanism to enforce adherence. Programs that were in alignment with Trump would continue receiving their funding.
The order immediately created anxiety and uncertainty among recipients of federal grants. It also prompted accusations from Democrats that the Republican president is infringing upon the constitutional authority of Congress to manage the US budget.
This freeze does not affect the benefits of Social Security and Medicare that retirees utilise.
The memorandum indicated that potentially affected areas include “financial support for foreign aid, nongovernmental organisations, DEI, woke gender ideology, and the Green New Deal”—terms linked to racial equality and climate initiatives that Trump has sworn to eliminate.
