Federal Workers Offered Eight Months Salary As Exit Package

The White House Office of Management and Budget has rescinded a Trump administration directive pausing federal loans, grants and other financial assistance, a White House official said on Wednesday.

- Agencies

WASHINGTON:

The head of the Office of Management and Budget sent a memo to the chiefs of US government departments and agencies saying the earlier order "is rescinded", NBC News and other outlets reported.

On Tuesday, President Donald Trump's attempt to freeze hundreds of billions of dollars in federal aid was temporarily blocked in court on Tuesday, even as it sowed chaos throughout the government and stirred fears that it would disrupt programmes that serve tens of millions of Americans.

Minutes before it was due to take effect at 5pm ET, a federal judge blocked Trump's spending freeze that would have affected thousands of federal grant programmes.

US District Judge Loren Ali Khan granted a temporary halt after several advocacy groups argued the freeze would devastate programmes ranging from health care to road construction. The court will revisit the issue on Monday.