With the clock fast counting down, key US policymakers were set to meet later Tuesday in what could be the final round of talks before time runs out to approve a rescue package ahead of the November 3 election.
Economists say the coronavirus-ravaged US economy has held up well because of the massive injection of about $3 trillion in support for businesses and households, but needs more support to avert another downturn.
The talks between the White House and congressional Democrats have dragged on for months with little progress, and US House Speaker Nancy Pelosi said Sunday there were only 48 hours left to realistically agree on the package that could be approved before the election.
Pelosi was due to speak with Treasury Secretary Steven Mnuchin around 1900 GMT, a source familiar with the matter told AFP, to see if the sides can finally narrow their differences.
Mnuchin is conducting the negotiations while on a trip to the Middle East, where he is traveling to Israel, Bahrain and the United Arab Emirates.
The House of Representatives approved a $2.2 trillion package while President Donald Trump’s administration proposed a $1.8 trillion rescue measure.
Trump, who trails in national polls behind Democratic challenger Joe Biden, signaled he could go bigger, but Senate Republican have revolted over the size of the spending.
Senate Majority Leader Mitch McConnell has repeatedly signaled he would not support a massive package, and said Tuesday the Republican-controlled chamber will vote later in the day on a more narrow, $500 billion measure to support small businesses.
While he has opposed many measures supported by Democrats and not allowed the House bill to come to a vote, he said Tuesday the renewed Paycheck Protection Program “ought to be a no-brainer,” and called on Pelosi to “end her Marie Antoinette act.”
Pelosi and Mnuchin spoke on Monday and “continued to narrow their differences,” and, “The Speaker continues to hope that, by the end of the day Tuesday, we will have clarity on whether we will be able to pass a bill before the election,” Pelosi aide Drew Hammill tweeted.
Since business shutdowns began in March, tens of millions of workers have lost their jobs, while the economy saw the worst contraction since the Great Depression.
The $2.2 trillion CARES Act expanded unemployment benefits and provided loans and grants to small businesses, however those provisions expired months ago.
IMF chief economist Gita Gopinath told AFP last week that a US rescue package of around $2 trillion would boost growth in the world’s biggest economy by two percentage points next year, over the 3.1 percent GDP rise currently forecast.
Bombshell report outs Florida Gov. Ron DeSantis for lying to people about COVID-19
Florida Gov. Ron DeSantis spent the majority of 2020 misleading his state on the facts around the COVID-19 crisis. A bombshell report from the South Florida Sun-Sentinel detailed the ways in which DeSantis suppressed bad news, spread "dangerous misinformation," and ignored inconvenient facts about the virus.
"The DeSantis administration’s approach to managing COVID-19 information carries costs," the report said. "It supports a climate in which people proudly disdain masks, engage in dangerous group activities that could spread the disease, and brush aside information that conflicts with their political views. With partygoers packing Florida bars and holiday travelers filling hotels and guest rooms, the state faces a few difficult months before the possible relief of vaccines."
Britain ‘rushed’ Pfizer Covid vaccine approval: Fauci
Leading American infectious disease scientist Anthony Fauci criticized Britain on Thursday for rushing through its approval process for the Pfizer-BioNTech coronavirus vaccine, suggesting the move could undermine public faith.
His comments came a day after Britain became the first Western country to approve a Covid-19 vaccine for general use, prompting some skepticism among the country's European neighbors and suggestions that the process was politicized.
Widely-respected Fauci, who leads the US National Institute of Allergy and Infectious Diseases, told CBS News on Thursday: "In all fairness to so many of my UK friends, you know, they kind of ran around the corner of the marathon and joined it in the last mile.
Donald Trump’s eyes and ears at the Justice Department banned from the building: report
The Associated Press reported Thursday that President Donald Trump’s eyes and ears at the Justice Department was barred from entering the building.
The report revealed that Heidi Stirrup, "an ally of top Trump adviser Stephen Miller," was pressuring Justice Department staff to hand over sensitive documents and information about alleged "election fraud" and other issues that are important to Trump.
Attorney General Bill Barr told the AP on Tuesday that there was no widespread election fraud or voter fraud, as Trump has claimed for the past several weeks since losing the 2020 election. Trump alleged that Barr “hasn’t looked very hard."