US govt shutdown highlights policymaking, governance challenges: Fitch

Fitch Ratings-London/New York: The U.S. government shutdown does not have near-term implications for the ‘AA+’/Stable U.S. sovereign rating but highlights long-standing policymaking weaknesses and political brinkmanship around budgetary issues, Fitch Ratings says. The shutdown began on Oct. 1 after Congress failed to either agree on the 12 appropriations bills required to fund discretionary federal programs or enact a continuing resolution (CR) to maintain funding at prior levels. A shutdown can see affected federal agencies halt operations and be obliged to furlough employees (with some exceptions), although employees are entitled to payment for this period once the relevant appropriations are passed.…

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