US govt shutdown: ‘Voice of America’ goes silent due to ‘funding cut’; Federal student loans to continue? | 10 updates

The US Senate adjourned on Wednesday without reaching a resolution on how to end the federal government shutdown. Blame was being levelled at both parties as the US government shutdown entered its first day.

Here are top ten updates from US government shutdown Day 1:

1. Despite the government shutdown, student aid programmes will continue to operate largely as normal for now. According to the Department of Education's contingency plan, Pell Grants and federal student loans will still be disbursed, and borrowers are expected to keep making payments on their loans, as reported by AP. The department manages a $1.6 trillion federal student loan portfolio, supporting around 9.9 million students across 5,400 colleges. However, within the Office of Federal Student Aid (FSA), 632 out of 747 employees are set to be furloughed during the shutdown. Most student loan servicing is handled by third-party companies contracted by the department, so immediate disruptions to borrowers are expected to be minimal.

Also Read: US Government Shutdown LIVE: White House warns of ‘imminent’ federal layoffs amid funding stand-off

2. The Trump administration suspended all news broadcasts from Voice of America (VOA) and furloughed nearly all its journalists following the government shutdown, just two days after a judge had ordered the agency to reinstate staff and resume programming. “Voice of America broadcasts have been suspended due to a funding cut from the United States government, which has led to a government shutdown,” reads a recent notice posted on the website.

3. Meanwhile, the US Embassy in India said in a post on X, “Because of the lapse in appropriations, this X account will not be updated regularly until full operations resume, with the exception of urgent safety and security information.”

4. Billions of dollars in climate funding for primarily Democratic-led states are set to be cancelled, according to Office of Management and Budget Director Russ Vought. “Nearly $8 billion in Green New Scam funding to fuel the Left’s climate agenda is being cancelled. More info to come from @ENERGY. The projects are in the following states: CA, CO, CT, DE, HI, IL, MD, MA, MN, NH, NJ, NM, NY, OR, VT, WA,” Vought posted on X earlier on Wednesday.

5. The Trump administration appears to have postponed implementing a proposed 100% tariff on certain imported drugs. The tariff, which President Donald Trump threatened last week, was aimed at brand-name or patented pharmaceutical products unless the manufacturers were in the process of building a production facility in the United States, as reported by CNN.

Also Read: US government shutdown looms: What does it mean? What's at stake? What to expect at Trump's congressional meeting?

6. “The Commerce Department continues to evaluate pharmaceutical companies’ proposals to reshore manufacturing and reduce drug prices to (Most Favoured Nation) rates as they prepare pharmaceutical tariffs,” a White House official told CNN.

7. During the government shutdown, the DC court system will not issue marriage certificates or perform marriage ceremonies, according to its official website.

8. Funding for the $8 billion programme that offers food assistance to pregnant women, infants, and young children is nearly exhausted. However, most states are expected to have enough resources to continue normal operations for one to two weeks during the government shutdown.

9. This includes allowing new enrollments in the Special Supplemental Nutrition Programme for Women, Infants, and Children (WIC), according to Ali Hard, policy director of the National WIC Association. The exception is Mississippi, which has temporarily paused accepting applications during the shutdown, according to a notice posted online.

Also Read: US Government shutdown: What could happen to your Social Security payments amid uncertainty?

10. The most recent government shutdown occurred in late 2018 and early 2019, triggered by President Trump’s demand for funding to build a US-Mexico border wall. An AP-NORC poll conducted during that shutdown found that about 7 in 10 Americans held Donald Trump “a great deal” or “quite a bit” responsible for the partial shutdown. Around 6 in 10 blamed Republicans in Congress, while roughly half attributed responsibility to Democrats in Congress, AP reported.

(With inputs from agencies, AP)