US government faces possible shutdown day before fiscal year 2026
(MENAFN) The United States is on the brink of a potential government shutdown just one day before the start of the 2026 fiscal year, as Congress struggles to finalize a budget agreement, according to reports.
The House of Representatives passed a budget proposal on September 19 that would fund the federal government through November 21, but the Senate has not approved the Republican-backed measure.
With the 2025 fiscal year ending at midnight Wednesday, leaders from both parties have yet to reach a consensus. Congressional leaders met with US President Donald Trump on Monday to negotiate, but neither side appears willing to yield.
Democrats insist on extending health insurance subsidies and reversing Medicaid cuts, opposing the Republican bill because it would make healthcare access more difficult. Republicans, in turn, have refused to adjust their stance on these issues.
Vice President JD Vance said after the meeting that the US is “headed to a shutdown” and placed responsibility on Democrats for not finding common ground. Meanwhile, Senate Democratic Leader Chuck Schumer stated that whether a shutdown occurs will depend on Republican actions.
Although Republicans control both chambers of Congress, they do not hold the 60 votes required to pass the budget in the Senate. If no agreement is reached, the federal government could face its first shutdown since 2019.
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